New Delhi, February 4, 2025 – Filatex India Limited (NSE: FILATEX, BSE: 526227) has disclosed that it has received a Goods and Services Tax (GST) Demand Order amounting to ₹8.16 crore, issued by the Additional Commissioner, Central GST, Delhi East. The demand order, dated January 31, 2025, was received by the company on February 3, 2025, at 3:05 PM.
Details of the GST Demand Order
- Authority Issuing the Order: Additional Commissioner, Central GST, Delhi East
- Nature of Action: Issued under Section 74(1) of the CGST Act, 2017
- Tax Period Covered: July 2017 to March 2021
- Total Tax Demand: ₹8,15,81,310
- Interest: As applicable (not quantified)
- Penalty: ₹8,15,81,310
- Reason for Demand: Alleged non-payment of GST on deemed supply of service (internally generated services) by the corporate office to its manufacturing plants.
Company's Response and Financial Implications
Filatex India has evaluated the merits of the case and decided to file an appeal with the Appellate Authority within the prescribed timeline under GST law. The company remains optimistic about a favorable outcome and does not anticipate any material financial impact arising from this order.The development comes amid increased scrutiny by tax authorities on corporate transactions, particularly internal service transactions among different units of the same company. Investors and stakeholders will be closely monitoring Filatex India's legal recourse and any potential financial implications.
For further updates, stakeholders are advised to monitor official announcements from the company and regulatory authorities.