Kalpataru Projects GST Appeal Partially Allowed

Initial Disclosure (January 11, 2024):

Received GST Order on January 11, 2024, at 10:45 AM from GST and Central Excise Department
Order issued under Section 73 of State GST Act, 2017 read with Section 20 of Integrated GST Act, 2017
Covered financial years: FY2017-18 to FY2019-20
Grounds: Alleged excess claim of Input Tax Credit (ITC), mismatch between ITC availed in GSTR-3B and ITC available in GSTR-2A
Financial impact: Tax demand of ₹1.83 Crores + penalty of ₹0.21 Crores + applicable interest under Section 50(3) of GST Act
Company stated it had a strong case and planned to file appeal

Update Disclosure (October 13, 2026):

Company filed appeal before Hon'ble Principal Commissioner (Appeals)
Appellate order received on October 12, 2026, at 5:12 PM (IST)
Appeal partially allowed, resulting in reduction of tax and interest demand
Penalty reduced from ₹0.21 Crores to ₹0.14 Crores
Company believes order was issued without considering their reply and documentary evidence
Plans to prefer further appeal to higher appellate authority within prescribed timelines

Original demand: ₹1.83 Cr tax + ₹0.21 Cr penalty + interest
Revised demand after appeal: Reduced tax/interest (amount not quantified) + ₹0.14 Cr penalty (33% reduction)
Company stated the matter does not have any significant impact on the company

Shweta Girotra, Company Secretary, signed both disclosures digitally