Godavari Biorefineries Receives ₹18.12 Crore Tax Demand Notice for FY23
Godavari Biorefineries received a tax demand notice for ₹18.12 crore related to FY23. The notice alleges short payment and ineligible input tax credit. The company is evaluating the impact and will take legal steps.
The tax demand of ₹18.12 crore is material and could impact the company's financial performance if not successfully contested. However, the company is evaluating and plans to take legal steps, which may mitigate the impact.
The company has received a significant tax demand notice which could lead to financial penalties and legal costs.
Godavari Biorefineries Limited has received a show-cause notice from the Commercial Tax Officer (Enforcement), DGSTO, Jamkhandi, Karnataka, concerning alleged short payment, non-payment, or ineligible input tax credit for the tax period 2022-23.
The notice, received on August 28, 2026, at 5:43 PM via email, was issued under Section 73(1) of the CGST/KGST Act, 2017, read with Rule 142(1)(a) of the CGST/KGST Rules, 2017. It pertains to the recovery of tax, including applicable interest and penalty.
The total GST demand is approximately ₹10.57 crore, comprising IGST of ₹5.13 crore, CGST of ₹2.68 crore, SGST of ₹2.68 crore, and CESS of ₹0.06 crore. Additionally, interest of ₹6.50 crore and a penalty of ₹1.05 crore have been demanded, bringing the total potential demand to ₹18.12 crore. The company is currently examining the notice and will take appropriate legal steps, including filing replies or appeals as advised. The financial, operational, or other implications are still under evaluation.
A plain-language summary of a public exchange filing by Godavari Biorefineries Limited. Read the original for the full detail.