Deepak Fertilizers and Petrochemicals Corporation Limited (DFPCL) has disclosed receiving an order from the Commissioner (Appeals), GST and Central Excise, Gujarat, imposing a total demand of ₹13.38 crore under the CGST/SGST Act, 2017. This includes ₹12.16 crore as tax, ₹1.21 crore as penalty, and applicable interest.
Key Details:
- Date of Order: The manual order, dated September 20, 2024, was uploaded by Gujarat Tax Authorities on December 30, 2024, and received by the company on January 8, 2025.
- Reason for Demand: The dispute stems from the alleged inadmissibility of credit claimed in TRAN-1, related to CENVAT credit, which was considered irregular due to discrepancies in returns filed before June 30, 2017.
- Financial Impact: The company has stated that there is no material impact on its financials or operations due to this order.
- Company’s Stand: DFPCL intends to challenge the demand in an appropriate forum, maintaining that the order is not tenable.
This development highlights the ongoing regulatory scrutiny in tax-related matters and the company’s proactive legal approach to resolve such issues.
