New Delhi, February 3, 2025 – Indian Railway Catering and Tourism Corporation Limited (IRCTC) (NSE: IRCTC, BSE: 542830) has received an Order-In-Original from the Assistant Commissioner of CGST Delhi (South), raising a total demand of ₹59.22 lakh. The order, dated January 28, 2025, pertains to the tax period from FY 2017-18 to 2021-22 and includes a penalty of ₹35.15 lakh.
Breakdown of Discrepancies Raised by CGST Authorities
The demand is based on multiple input tax credit (ITC) violations, as per the order:| Discrepancy Type | Amount (₹ in Lakh) |
|---|---|
| Wrong Availment of ITC on Place of Supply other than Delhi | 7.62 |
| Wrong Availment of ITC on Counter Filing Status of Supplier | 0.84 |
| ITC Claimed on Input Supplies from Suppliers with Cancelled GSTINs | 15.60 |
| Penalty on Above Violations | 35.15 |
| Total Demand Raised | 59.22 |
Financial & Operational Impact
IRCTC has acknowledged the financial liability of ₹59.22 lakh but has indicated that the demand is litigative. The company retains the right to challenge the order before the appropriate authorities within the prescribed legal timelines.Strategic Next Steps
IRCTC’s management has not yet commented on its legal strategy but is expected to take necessary steps to contest the order. Investors will be closely watching for updates on how the company addresses the tax dispute, as regulatory challenges could impact financial performance and future compliance measures.This development adds to the list of regulatory scrutiny in India's tax ecosystem, with businesses facing increased compliance pressure under GST laws.
For further updates, stay tuned.