Jagsonpal auditor reports Rs 12.12559 lakh TDS pending

Jagsonpal Services Limited’s auditor reported that Rs 12.12559 lakh of tax deducted at source for August and September 2026, plus applicable interest, remained unpaid on 27 October 2026, while September salaries were also unpaid and August-September office rent was proposed for adjustment against a security deposit.

What did Jagsonpal’s auditor report on unpaid salaries?

Jagsonpal’s auditor reported that the September 2026 salary amount remained unpaid as of 27 October 2026. The emphasis-of-matter note cited the Code on Wages, 2019, which it said requires salary payment before the expiry of the seventh day of the succeeding month.

Management told the auditor that Jagsonpal was in the process of clearing the salary in the upcoming quarter. The 13 November 2026 filing does not disclose the unpaid salary amount, a payment date, a funding source, or confirmation that salaries had been paid by the date the board approved the September-quarter results.

Jagsonpal recorded employee-benefit expense of Rs 59.92 lakh in the quarter ended 30 September 2026, compared with Rs 8.25 lakh in the quarter ended 30 September 2025. For the half year ended 30 September 2026, this expense was Rs 1.1422 crore, versus Rs 13.40 lakh a year earlier; the filing does not equate either expense figure with unpaid salaries.

The salary matter appeared in the auditor’s emphasis-of-matter section for the standalone unaudited results for the quarter and half year ended 30 September 2026. The auditor stated that its review conclusion was not qualified in respect of the salary, TDS and rent matters.

How much TDS did Jagsonpal have pending?

Jagsonpal had TDS, or tax deducted at source, liabilities of Rs 12.12559 lakh for August and September 2026 pending as of 27 October 2026, along with applicable interest. The filing specifies the underlying TDS amount but does not quantify the interest payable.

Management said Jagsonpal was in the process of clearing the statutory dues in the upcoming quarter. The announcement provides no instalment schedule, payment confirmation or update on interest after 27 October 2026, so the stated plan does not establish that the liability had been settled by 13 November 2026.

The TDS disclosure is separate from Jagsonpal’s reported current-tax expense of Rs 13,000 for the September 2026 quarter and Rs 5.27 lakh for the half year ended 30 September 2026. The filing does not provide a reconciliation between the TDS amount, applicable interest and the tax-expense figures in the financial results.

Both the salary and TDS observations use 27 October 2026 as the reporting cut-off. Jagsonpal’s board and audit committee subsequently considered the unaudited financial results on 13 November 2026, when the company released the limited-review report.

How will Jagsonpal settle the unpaid office rent?

Jagsonpal proposed to adjust unpaid office rent for August and September 2026 against the security deposit given for its premises. The filing does not disclose the value of the two months’ rent arrears, the security-deposit balance, or the amount to be adjusted.

Management told the auditor that Jagsonpal had agreed to adjust the deposit in October 2026 and replenish it by 1 December 2026. This is a disclosed payment mechanism and target date, but the 13 November 2026 filing does not confirm that the adjustment occurred or that the deposit was replenished.

Rent expense was Rs 69.38 lakh in the quarter ended 30 September 2026, compared with Rs 69.53 lakh in the preceding June 2026 quarter and Rs 64.98 lakh in the September 2025 quarter. Half-year rent expense increased to Rs 1.3891 crore from Rs 1.2529 crore in the corresponding half year of 2025, although these expenses do not identify the unpaid portion.

The approach to rent differs from management’s stated approach to salaries and statutory dues. Jagsonpal proposed a deposit adjustment and replenishment by 1 December 2026 for rent, while it said salaries and TDS would be cleared in the upcoming quarter.

What do Jagsonpal’s September 2026 results show?

Jagsonpal had made no sales as of 30 September 2026, according to the auditor’s emphasis-of-matter note. The auditor said there was material doubt about the company’s ability to continue as a going concern unless there was capital infusion or business, while management said it was evaluating options for raising capital.

The auditor reported a Rs 10 lakh balance in Jagsonpal’s Sweep Fixed Deposit account as of 30 September 2026. Separately, the unaudited balance sheet reported cash and cash equivalents of Rs 4.1008 crore at that date, down from Rs 10.475 crore at 30 June 2026; the filing does not explain how these balances relate to the unpaid items.

Jagsonpal posted a net loss of Rs 1.5692 crore for the quarter ended 30 September 2026, compared with a Rs 98.69 lakh loss in the September 2025 quarter. Total expenses rose to Rs 1.5643 crore from Rs 1.1459 crore, while total income was negative Rs 62,000 against Rs 15.77 lakh in the prior-year quarter.

For the half year ended 30 September 2026, Jagsonpal’s net loss was Rs 2.9811 crore, compared with Rs 2.0577 crore for the corresponding 2025 half year. The company identified its business as research and development including product development and application, and said segment reporting under Indian Accounting Standard 108 did not apply.

What is the status of Jagsonpal’s Welcast Finstocks acquisition?

Jagsonpal said it had received Reserve Bank of India approval on 3 July 2026 for the acquisition of 100% of Welcast Finstocks Private Limited. The September-quarter financial-results notes do not state a closing date for the transaction.

Under the share purchase agreement, Jagsonpal had paid approximately 18% of the purchase consideration and recorded it under non-current investments pending completion. The filing does not disclose the total purchase consideration, the rupee value of the 18% payment, or any remaining payment timetable.

The acquisition note was released with results showing total assets of Rs 12.6481 crore at 30 September 2026, compared with Rs 16.7998 crore at 30 June 2026. Total equity was Rs 8.2739 crore at 30 September, down from Rs 9.8431 crore three months earlier, while other equity was negative Rs 9.9315 crore.

The filing does not connect the Welcast Finstocks transaction to management’s capital-raising evaluation, the overdue TDS, unpaid salaries or rent-deposit adjustment. Those are separately disclosed matters in the auditor’s report and financial-results notes.

Conclusion

The auditor’s disclosures identify three payment matters at Jagsonpal as of 27 October 2026: unpaid September salaries, Rs 12.12559 lakh of August-September TDS plus applicable interest, and unpaid August-September office rent proposed for adjustment against a security deposit. They were disclosed alongside no sales at 30 September 2026, a quarterly net loss of Rs 1.5692 crore and the auditor’s going-concern observation.

The next disclosed items to watch are management’s plan to clear salaries and statutory dues in the upcoming quarter and its target to replenish the rent security deposit by 1 December 2026. Jagsonpal also disclosed that it was evaluating capital-raising options and that the Welcast Finstocks acquisition remained pending completion after an approximately 18% advance payment.