Details of the Authority and Order

The company received an order from the Office of the Commissioner, Central GST. The specific authority issuing the notice is the Assistant Commissioner of State Tax. The notice was received on July 22, 2026.

Nature of the Action

The authority has issued a Show Cause Notice in Form GST DRC-01 under section 73 of the IGST/CGST/SGST Act, 2017.

Alleged Violations

The notice alleges two specific violations for the financial year 2022-23:

  • Excess availment of Input Tax Credit (ITC)
  • Under-declaration of Ineligible ITC

Financial Impact Quantified

The show cause notice has raised demands aggregating to:

  • Tax demand: ₹21,03,58,038 (₹21.04 crore)
  • Interest: ₹14,42,26,280 (₹14.42 crore)
  • Penalty under section 73: ₹2,10,35,804 (₹2.10 crore)
  • Total potential financial impact: ₹37,56,20,122 (₹37.56 crore)

Company Response and Status

The company states that it will analyze the contents of the notice and will furnish an appropriate response to the tax authorities. The matter is at the show cause stage, and no final order has been passed.