New India Assurance gets ₹256 crore tax refund; shares end higher

Shares of state-owned The New India Assurance Company Limited rose 1.22% on May 19 to close at ₹164.57 after the company informed exchanges that the Income Tax Department had issued a refund for the assessment year FY20. However, the stock slipped from its intraday high of ₹169.01 following the announcement.

The insurer disclosed on Tuesday that it had received a refund of ₹255.68 crore from the Income Tax Department.

Earlier, on March 24, the firm had informed exchanges that it received an income tax assessment order for the assessment year 2023–24 involving about ₹189.37 crore and would challenge the order before the National Faceless Appeal Centre.

The order was issued by the National Faceless Assessment Centre under Section 143(3) of the Income Tax Act, 1961.

Q4 earnings

Earlier, on May 11, the firm had informed in its Q4 results that its gross written premium grew 8.2% during the year. It said its Indian business grew faster than the industry, with the company’s market share increasing from 12.56% to 12.74% during the year compared to the same period last year.

According to the disclosure, profit after tax improved by 40% for the year and 61% for the fourth quarter.

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