Larsen & Toubro Granted Stay on Tax Coercion

Authority: Supreme Court of India

Order Date: 18-08-2026

Case Overview

• Parties: Petitioner – M/s Larsen & Toubro Ltd; Respondents – The Additional Commissioner & Others.
• Proceedings: Petition(s) for Special Leave to Appeal (C) No(s). 27516/2026, arising out of the impugned final judgment and order dated 18-04-2026 in WP No. 4411/2003 passed by the High Court of Madhya Pradesh, Principal Seat at Jabalpur.
• Counsel: Senior Counsel Mr. Prakash Shah appeared for the petitioner, assisted by a team of advocates.
• Key Allegations/Issues: The petitioner challenges the tax demand levied by the Additional Commissioner; the petitioner has deposited 50% of the tax amount claimed.
• Court Observations: The Court noted the partial tax deposit and the need to prevent coercive actions against the petitioner during the pendency of the appeal.

Final Outcome

• The Court directed that a notice be issued, returnable on 27-10-2026, to the respondents.
• The Court ordered that, in the interregnum, no coercive steps shall be taken against Larsen & Toubro Ltd.

Topics: Tax Dispute, Supreme Court Order