Nestle India gets relief as Supreme Court dismisses tax appeals involving ₹101 crore

FMCG major Nestle India Ltd on Wednesday (January 21) said the Supreme Court of India has dismissed as withdrawn the income tax department’s appeals related to the disallowance of general licensing fees for multiple financial years, providing closure to a long-running litigation involving ₹101.21 crore.

In a regulatory filing, the company said the matter pertained to the disallowance of general licensing fees for the financial years 1996–1998, 1999–2001 and 2004–2008. The income tax authorities had contended through various orders that the payments of general licensing fees during these periods were excessive and unreasonable.

Nestlé India had challenged these orders, and the matter had earlier been decided in favour of the company up to the level of the Delhi High Court. The income tax department subsequently filed appeals before the Supreme Court of India.

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The company said that by an order dated January 13, 2026, which was received by Nestlé India on January 21, 2026, the Supreme Court dismissed the appeals filed by the income tax authorities as withdrawn. The aggregate amount involved in the litigations stood at ₹101.21 crore.

Nestlé India clarified that there was no litigation against key management personnel, promoters or persons in control, and there was no settlement involved in the matter.

Shares of Nestle India Ltd

ended at ₹1,284.30, down by ₹10.55, or 0.81%, on the BSE.

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