InterGlobe Aviation (IndiGo) shares were trading flat on 23 November after the company had received orders from the Commissioner of Income Tax-Appeals (CIT-Appeal) worth Rs 1,666 crore.

In its regulatory filing, the company said, “The CIT-Appeal has now passed the respective orders, wherein the revision to the taxable income on account of tax treatment of certain incentives received by the Company from manufacturers with the acquisition of the aircraft and engine and disallowance of certain expenses has been confirmed without granting an opportunity of personal hearing and adjudicating the matter on merits.”

However, the company will contest the same and will take appropriate legal action.

This is the second time the CIT-Appeals has confirmed tax demand on IndiGo, as a similar bill was passed in 2015.

The filing added, “The company believes, based on legal advice from counsel, that the views taken by authority are not sustainable.”