Blitz Bureau
NEW DELHI: Tata Steel said it had received a show-cause-cum-demand notice from the tax department over an alleged irregular use of input tax credit worth over Rs 1,000 crore for the financial years 2018-19 to 2022-23. In a filing to the stock exchanges, the company said that the notice was issued by the Office of the Commissioner (Audit), Central Tax, Ranchi, on June 28.
“On June 28, Tata Steel Limited received a Show Cause cum demand Notice dated June 27, issued by the Office of the Commissioner (Audit), Central Tax, Ranchi, proposing to disallow/demand primarily on account of alleged irregular availment of Input Tax Credit in contravention of the provisions of Section 74(1) of the Central Goods and Services Tax Act, 2017/State Goods and Services Act, 2017 read with Section 20 of the Integrated Goods and Services Tax Act, 2017, for the period FY2018-19 through FY2022-23,” the firm said in its filing.
The tax authority asked Tata Steel to explain, within 30 days, why the GST amounting to Rs 1,007.54 crore should not be demanded and recovered from the company. The explanation has to be submitted before the Additional or Joint Commissioner of Central GST &Central Excise in Jharkhand’s Jamshedpur.
