Yes Bank Scores Major Win: ₹345 Cr Income Tax Refund Unlocked via JAO Order!

Yes Bank has secured a significant income-tax refund of ₹345 crore through a rectification order issued by the Jurisdictional Assessing Officer (JAO). The order addresses discrepancies from a prior assessment year specifically linked to proceedings under Section 143(3) finalizing the refund after recomputing allowable deductions and tax liabilities. This follows the bank's appeal against the original assessment, demonstrating effective resolution of legacy tax disputes. The refund, once processed, will directly enhance the lender's cash reserves, supporting operational stability and potential capital deployment in a competitive banking landscape. Management views this as a non-material but positive liquidity event, with no impact on financial statements disclosed.
​
Key Highlights

Refund Amount: JAO order determines ₹3.45 billion income-tax refund, credited following processing.

Background: Stems from Dec 2018 assessment; rectification corrects prior errors, akin to ₹2,209 cr nullification.

Material Impact: Bolsters liquidity; NSE intimation on Dec 31, 2025.
​
Market Context: Part of series of tax wins amid penalties like recent GST orders.
​
Implications
This bolsters Yes Bank's balance sheet for growth. Shares could rally on the news. Compliance efforts continue.
​
Sources: NSE India