Bajaj Electricals has received GST assessment orders for financial years 2019-20 and 2022-23, totalling Rs 19.93 crore in alleged tax demands.
The Office of the Commercial Tax Officer, Jurisdiction-Chennai Central, Tamil Nadu, issued two separate orders to Bajaj Electricals. The first order pertains to FY 2019-20, with a demand of Rs 11.20 crore, which includes a tax demand of Rs 3.66 crore, interest of Rs 3.88 crore, and a penalty of Rs 3.66 crore. This demand arises from alleged discrepancies in input tax credit (ITC) and short payment of tax due to turnover differences. The second order for FY 2022-23 demands Rs 8.73 crore, comprising a tax demand of Rs 5.09 crore, interest of Rs 3.13 crore, and a penalty of Rs 0.51 crore, related to alleged excess ITC claims and ITC differences.
Bajaj Electricals is currently evaluating legal options, including filing an appeal or a writ petition against these orders. The company stated that the financial impact, if these orders materialise, would be limited to the demand and penalties levied. There is no anticipated impact on the company’s financial, operational, or other activities.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).
This article is written by Business Desk and reviewed by Aman Shukla before publication.