GST show cause notice raises Rs. 94.86 crore demand; company says allegations yet to be adjudicated
JK Tyre has informed the exchanges about a GST Show Cause Notice uploaded on the GST portal on 29 September 2026.
By ScoutQuest · · 2 min read
- Total GST demand
- Rs. 94.86 crs (Tax Rs. 55.12 crs, Interest Rs. 34.23 crs, Penalty Rs. 5.51 crs)
- Notice date
- uploaded on the GST portal on 29 September 2026
- Period covered
- FY 2022-23
What the company disclosed
JK Tyre & Industries Ltd has informed the stock exchanges that a Show Cause Notice (SCN) was uploaded on the GST portal on 29 September 2026. The notice was issued by the Deputy Commissioner (ST) III, GST, Large Taxpayers Unit, Chennai-35. The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The numbers to note
- Total demand raised under Section 73 of the GST Act, 2017: Rs. 94.86 crs
- Tax component: Rs. 55.12 crs
- Interest component: Rs. 34.23 crs
- Penalty component: Rs. 5.51 crs
- Period covered: FY 2022-23
What the notice is about
The annexure refers to assessment proceedings, including incorrect classification of supplies under HSN/SAC codes, excess availment of input tax credit (ITC), a mismatch between GSTR 2A vs 3B, ineligible ITC and, additionally, certain transactions treated as deemed supplies, such as recoveries from employees and reimbursements.
The company's stated position
- There are no actual discrepancies as alleged in the notice.
- The company's position is defensible against the observations raised in the Show Cause Notice.
- The company is examining the notice and an adequate response will be submitted to the GST Authority within the due time.
- Since the allegations are yet to be adjudicated, the actual outcome and impact will be known only thereafter.
- The company states it was reviewing the details of the SCN and its implications, if any.
How a retail investor can read this
A Show Cause Notice is the beginning of a process, not a final order. The amount of Rs. 94.86 crs is the demand raised in the notice, split across tax, interest and penalty. The company has not accepted that liability and says the allegations are yet to be adjudicated, which means the matter will move through the adjudication process before any final outcome is known. As the company itself notes, the actual outcome and impact will be known only after that process.
Also from JK Tyre & Industries
JK Tyre Q2FY27: consolidated total income up 20% to INR 4,850 Cr but PAT falls 73% to INR 60 Cr as EBITDA margin halves
23 Oct 2026
Board approves investment up to AED 4,00,000 in a new wholly owned subsidiary in Dubai
23 Oct 2026
Board approved Q2/H1 FY27 results; auditor's limited review conclusion unmodified
23 Oct 2026
More numbers
- Total GST demand raised under Section 73 of the GST Act, 2017₹ 94.86 crs
- Tax component of the demand₹ 55.12 crs
- Interest component of the demand₹ 34.23 crs
- Penalty component of the demand₹ 5.51 crs
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