Regulatory / Tax Litigation
YES Bank Receives ₹879 Crore Income Tax Refund Following Appellate Orders for AY 2018-19
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BSE
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YES Bank has received a consolidated income tax refund of ₹879 crore from the Jurisdictional Assessing Officer (JAO), Mumbai, following favourable first-level appellate orders related to assessment and reassessment proceedings for Assessment Year (AY) 2018-19. The refund includes interest income under Section 244A and tax benefits on certain expense claims.
PRICE-SENSITIVE TRIGGER
Event: Receipt of consolidated income tax refund pursuant to appellate proceedings.
Type: Regulatory / Tax Litigation
Impact: Positive
Immediate Effect: The refund strengthens the bank’s cash position and concludes a significant stage in the long-running tax dispute for AY 2018-19, following appellate relief.
Key Metrics:
- Income Tax Refund Received: ₹879 crore
- Earlier Additional Tax Demand (March 2024): ₹112.81 crore (including interest)
- Assessment Year: AY 2018-19
- Authority Issuing Refund: Jurisdictional Assessing Officer (JAO), Mumbai
Highlight:
- Income Tax Refund Received: ₹879 crore
What Happened ?
YES Bank informed the exchanges that it has received a consolidated Order Giving Effect (OGE) from the Jurisdictional Assessing Officer following favourable appellate orders relating to income tax assessment and reassessment proceedings for AY 2018-19.
The bank had originally received an assessment order in 2020 and a reassessment order in 2024, resulting in an additional tax demand of ₹112.81 crore. After challenging both orders before the first appellate authority, the bank obtained favourable decisions during October and December 2025.
Based on these appellate orders, the tax department has now issued a consolidated refund order amounting to ₹879 crore, including statutory interest and tax benefits arising from certain expense claims.
Key Details
Litigation Timeline:
- Original assessment order for AY 2018-19 issued in February 2020.
- Reassessment order issued in March 2024, resulting in an additional tax demand of ₹112.81 crore.
- YES Bank appealed both assessment orders before the first appellate authority.
- Appellate authority passed orders in October 2025 and December 2025.
- Following implementation of these orders, the Jurisdictional Assessing Officer issued a consolidated refund order.
- The refund includes:
- Interest under Section 244A of the Income-tax Act.
- Tax benefit relating to certain expenses claimed in the income-tax return.
- The cumulative value of interest income and tax benefit exceeds the SEBI materiality threshold of approximately ₹120 crore.
Note:
- The disclosure relates to implementation of appellate orders and receipt of the corresponding refund. The filing does not indicate any fresh litigation initiated by the bank.
Risk Analysis
Summary:
- While the refund is favourable, taxation matters remain subject to statutory procedures and any future legal remedies available under applicable tax laws.
Key Risks:
- Tax matters may remain subject to further proceedings if pursued by tax authorities.
- Final tax outcomes can depend on subsequent legal or judicial developments.
- The filing does not specify whether the litigation has been conclusively closed.
Worst Case:
- Any future appeal or revision by the tax authorities could alter the final tax treatment or refund position.
Risk Level: Low
Company Commentary
- YES Bank received a consolidated refund order from the Jurisdictional Assessing Officer after favourable appellate decisions.
- The refund amounts to ₹879 crore and includes statutory interest and tax benefits.
- The cumulative value of the refund components exceeds the materiality threshold prescribed under the amended SEBI Listing Regulations.
- The disclosure has been made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Official Exchange Filing: YES Bank Limited
