Indian FMCG major Dabur India Ltd on Tuesday (November 26) said it has received an order from the Additional Commissioner, CGST Commissionerate, Chandigarh, confirming a demand of ₹320.6 crore along with applicable interest.
“The company has received an order on November 25, 2024, from Additional Commissioner, CGST Commissionerate, Chandigarh, confirming a total demand of ₹3,20,60,53,070/- as IGST under Section 20 of the IGST Act, 2017, read with Section 74(9) of CGST Act, 2017 and corresponding Section of State GST Act, 2017, along with interest payable thereon…,” Dabur India said in a regulatory filing
The demand pertains to tax ascertained by the Directorate General of Goods and Services Tax Intelligence, as part of an ongoing review of the company’s tax compliance.
Also Read: Dabur Q2 Results: Volumes decline 7.5%; Profit, revenue meet expectations
The order, dated November 25, 2024, confirms the demand but drops the penalty initially indicated in a previous notice from October 17, 2023. Dabur stated that it is currently reviewing the order and evaluating possible legal actions.
The company clarified that the order does not impact its operations or business activities, and the financial impact will be limited to the final tax liability and any related interest.
“The company is reviewing the order and evaluating the next steps in the matter available under the applicable laws. There is no impact on the operation or other activities of the company due to this order. The financial impact will be limited to the extent of final tax liability as may be ascertained along with interest, if any,” it added.
Also Read: Dabur shares fall 8% after Q2 update warns of revenue decline, margin hit
Shares of Dabur India Ltd ended at ₹525, up by ₹3.35, or 0.64%, on the BSE.
(Edited by : Shoma Bhattacharjee)
