NSE/BSE Codes: NSE: JSWCEMENT, BSE: 544480

Summary of Key Information:

Nature of Event / Disclosure:

Regulatory disclosure regarding receipt of Show Cause Notice from tax authorities for alleged Goods and Services Tax (GST) short payment due to incorrect classification.

Involved Parties / Authorities:

  • Additional Commissioner of Central Tax, Belagavi Audit Commissionerate (issuing authority)
  • JSW Cement Limited (recipient)

Date / Timeline of Event:

  • Show Cause Notice received: September 24, 2026
  • Disclosure filed with exchanges: September 24, 2026
  • Period under dispute: April 2022 to March 2024 (24-month period)

Brief Description of Outcome / Dispute:

The Additional Commissioner of Central Tax, Belagavi Audit Commissionerate has issued a Show Cause Notice alleging short payment of GST on account of incorrect classification of goods/services. The notice proposes a GST demand of ₹229.85 crore along with applicable interest and 10% penalty under Section 73 of the CGST Act, 2017.

Impact of Outcome:

Financial Impact:
  • Total proposed GST demand: ₹229,85,36,623 (₹229.85 crore)
  • Breakdown of GST demand:
  • IGST: ₹121,75,53,219 (₹121.76 crore)
  • CGST: ₹54,04,91,702 (₹54.05 crore)
  • SGST: ₹54,04,91,702 (₹54.05 crore)
  • Additional interest payable under Section 50 of CGST Act
  • Additional 10% penalty under Section 73 of CGST Act
  • Company states: "there is no material impact on the Company"
Operational / Business / Strategic Impact:

No specific operational or business impact disclosed in the document. The company is engaged in the process of preparing and filing a reply to the tax authorities.

Other Implications:

The matter involves alleged contravention of provisions of Sections 9, 37 and 39 of the CGST Act, 2017 related to tax payment, filing of returns, and furnishing details of outward supplies.

Next Steps / Required Actions:

  • Company is in process of filing a reply to the Show Cause Notice
  • No specific deadline for response mentioned in the disclosure
  • The matter will proceed through the GST adjudication process