Date: 30th September, 2026
Regulatory Action Summary
Search and Seizure proceedings initiated by the Maharashtra Goods and Services Tax Department on 23rd September, 2026 have been concluded on 29th September, 2026. The proceedings were conducted under Section 67 of the Maharashtra Goods and Services Tax Act, 2017 at the Registered Office and manufacturing units of the Company and its wholly owned subsidiary company, situated in the State of Maharashtra.
Financial Impact Assessment
The Department has determined:
- GST liability of ₹9.9 crore under the Reverse Charge Mechanism (RCM)
- The Company is eligible to avail the entire amount of this GST liability as an Input Tax Credit, subject to applicable provisions of law
- Additional interest and non-creditable tax liabilities aggregating to ₹2.0 crore
- The Company has decided to discharge and settle the ₹2.0 crore outstanding liability
- The aggregate amount of ₹2.0 crore represents the net financial impact/cost to the Company
Operational Impact
The proceedings have not caused any disruption to the Company's business operations. Manufacturing and other operations have continued in the normal course. The financial impact remains negligible as quantified above.
Compliance Stance
The Company reiterates its commitment to highest standards of compliance, corporate governance and regulatory discipline. The Company has extended and will continue to extend full and proactive co-operation to the concerned authorities, providing all necessary assistance and information as required.
Annexure Details
Authority: Goods and Services Tax Department, State of Maharashtra
Nature of Action: Search and Seizure proceeding under Section 67 of the Maharashtra Goods and Services Tax Act, 2017
Duration: Initiated 23rd September 2026, concluded 29th September 2026
Violation Details: Determination of GST liability under Reverse Charge Mechanism
Financial Impact: Quantifiable impact limited to ₹2.0 crore for interest and non-creditable taxes