UltraTech Cement has disclosed that it has received a Goods and Services Tax (GST) demand notice amounting to ₹782.2 crore, which the company intends to legally challenge. In a regulatory filing made on Saturday, the Aditya Birla Group flagship company stated that it is currently reviewing the tax order and is evaluating all available legal remedies before contesting the demand at the appropriate forum.
The tax demand relates to multiple matters covering the period from FY2018–19 to FY2022–23. According to the company, the order has been issued on grounds such as alleged short payment of GST and improper utilisation of Input Tax Credit (ITC), among other issues. UltraTech has maintained that the order was passed without adequately considering the detailed submissions and explanations provided by the company during the proceedings.
As per the filing, the order upholds a tax liability of ₹390.96 crore, along with applicable interest on the tax demand. In addition, it includes further interest of ₹27.68 lakh and an equivalent penalty of ₹390.96 crore, taking the total financial exposure to ₹782.2 crore. The order was issued by the Joint Commissioner of Central Goods and Services Tax & Central Excise, Patna, and was received by the company on Friday.
UltraTech Cement emphasized that it believes it has a strong case on merit and that the demand is disputable. The company reiterated that it will pursue all legal options to safeguard its interests. UltraTech Cement is India’s largest cement manufacturer, with an installed capacity close to 200 million tonnes per annum, and remains financially strong despite the tax demand.
