Background and Timeline

The company filed an appeal before the Commissioner (Appeals-I), Office of the Commissioner of GST & Central Excise (Appeals - I) against an Order of Demand dated 27th February 2025 passed by the Additional Commissioner of CGST & Central Excise. This appeal was a follow-up to the company's previous communication dated 6th March 2025.

Original Demand Details

The original demand required payment of:

  • GST amount: ₹4,25,21,134/-
  • Interest: Applicable amount (not specified)
  • Penalty: ₹42,49,562/-

Total original demand including interest and penalty: ₹4,67,70,696/-

The demand was issued under Section 73 of CGST Act, 2017/TNGST Act 2017 for alleged "In-eligible / Non-reversal of Input Tax Credit in respect of the Supplies made during FY 2020-21."

Appeal Outcome

The Commissioner (Appeals-I) partially allowed the appeal vide order dated 24th July 2026. The order was received by the company on 7th August 2026.

The demand has been significantly reduced from the original ₹4,25,21,134/- to ₹4,05,526/- (excluding interest and penalty). This represents a reduction of approximately 99% from the original GST demand amount.

Financial Impact Assessment

The company explicitly states: "There is no material impact on the Company's financial, Operation or other activities." The disclosure emphasizes that the originally levied demand has been reduced to the extent specified, minimizing the financial exposure.

Additional Information

The details are also available on the company's website at www.tnpetro.com.