Shares of Vodafone Idea are likely to remain in focus after the telecom operator disclosed that it has received an order under the Central Goods and Services Tax Act, 2017, confirming a penalty of Rs 6.78 crore, along with applicable tax demand and interest.
In a regulatory filing dated December 31, Vodafone Idea informed stock exchanges that the Office of the Additional Commissioner, Secunderabad jurisdiction, Hyderabad, Telangana, has passed the order under Section 73 of the GST Act. The order pertains to an alleged excess claim of input tax credit (ITC) for the financial year 2021–22 .
Details of the GST order
According to the disclosure, the tax authority has confirmed a penalty of Rs 6,78,07,980, along with the underlying tax demand and interest, as applicable. The order was received by the company on December 30, 2025.
Vodafone Idea stated that the maximum financial impact from the order would be limited to the extent of the tax demand, interest, and penalty levied by the authority.
Company to challenge the order
The company clarified that it does not agree with the order and will take appropriate legal action against it. Vodafone Idea has disclosed the development in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with the applicable SEBI master circular.
The disclosure was submitted to both BSE and NSE for record, and the company reiterated that it intends to pursue legal remedies to contest the findings of the tax authority.
What investors are watching
The development comes at a time when investors remain sensitive to regulatory and financial disclosures from Vodafone Idea. Market participants will closely track any further updates on the legal proceedings and the eventual outcome of the company’s appeal against the GST order.
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