Details of Authority

Office of the Assistant Commissioner of State Taxes, State Intelligence and Preventive Unit, Patiala at Shambhu, Punjab

Nature of Action

Company has received an advisory regarding verification of compliance with Section 17(2) of the Central Goods and Services Tax Act, 2017 read with Rules 42 and 43 of the CGST Rules, 2017 relating to reversal of Input Tax Credit (ITC) attributable to exempt supplies.

The advisory calls upon the Company to furnish prescribed reconciliation, invoice-wise ITC details and to reverse any ineligible ITC, if applicable, in accordance with the provisions of the GST law.

Period Under Review

Financial Year 2025-26 and Financial Year 2026-27 (up to May 2026)

Date of Receipt

15th July 2026 at 9:21 PM by email

Details of Alleged Contravention

During verification of GST returns, the Department has observed that the Company has made exempt supplies and taxable supplies during the mentioned periods and has advised compliance verification with Section 17(2) of the CGST Act 2017.

Financial Impact

There is no material impact on financial, operational or other activities of the Company due to this GST advisory. The impact is not quantifiable in monetary terms.