Favourable order: Commissioner (Appeals) sets aside IGST demand of Rs. 1,79,04,715/- and penalty of Rs. 17,90,472/-

Order received: the Office of the Commissioner (Appeals) allowed the company's appeal and set aside the demand of Rs. 1,79,04,715/- (IGST) along with the penalty of Rs. 17,90,472/-.

Fri 2 Oct 2026

IGST demand set aside

Rs. 1,79,04,715/-

Penalty set aside

Rs. 17,90,472/-

Authority passing order

Office of the Commissioner (Appeals)

Order received via email dated

1st October 2026

Demand relates to

Financial Year (FY) 2020-21

Favourable appellate order in an indirect tax matter

The company has informed the stock exchanges that the Hon'ble Office of the Commissioner (Appeals) has allowed its appeal and passed a favourable order, setting aside the demand imposed by the Office of the Commissioner of CGST & Central Excise, Jamshedpur. The order was received through email dated 1st October 2026.

What has been set aside

• The appellate authority has dropped the proceedings initiated against the Company for recovery of excess/irregular/ineligible Input Tax Credit (ITC) availed and utilised amounting to Rs. 1,79,04,715/- (IGST).
• The associated penalty of Rs. 17,90,472/- previously imposed by the Commissioner of CGST & Central Excise, Jamshedpur has also been set aside.

Background of the demand

The demand related to the Financial Year (FY) 2020-21. It was originally made on the ground that there was a mismatch of ITC between GST monthly returns and the Annual Return, without considering the reconciliations provided. The Company demonstrated with documentary evidence that there was no excess availment of ITC.

Company's stated position on impact

Pursuant to the favourable order, there is no material impact on the financial position, operations or other activities of the Company.

Other details given in the disclosure

• Aberrations/non-compliances identified by the authority: Nil
• Penalty or restriction or sanction imposed pursuant to the communication: Nil
• Action(s) taken by the listed company with respect to the communication: Nil

What this means in simple terms

Input Tax Credit is the tax a business has already paid on its purchases, which it can set off against the tax it owes on its sales. In this case, the tax department had earlier raised a demand saying the company had availed and utilised more ITC than it was entitled to for FY 2020-21, and had also levied a penalty on it. The appellate authority has now allowed the company's appeal, set aside that demand and dropped the recovery proceedings. The company states that this has no material impact on its financial position, operations or other activities.

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