Aditya Birla Lifestyle Brands Limited Faces Demand Orders from Tax Authority
Aditya Birla Lifestyle Brands Limited announced that H.S. Govardhana Rao, Assistant Commissioner of the East Division-5 Bangalore-East Commissionerate, issued multiple orders on March 16, 2026. The orders, received March 17, 2026, pertain to business operations that were demerged from Aditya Birla Fashion and Retail Limited, effective May 1, 2025.The orders relate to demand proceedings concluding audits and show cause notices concerning the reversal of Input Tax Credit (ITC) on inventory written off or shrinkage and Fixed Assets write-off.
Here's a breakdown of the demand details:
| Particulars | Details | Details | Details |
|---|---|---|---|
| Tax | ₹ 1,57,30,210 | ₹ 1,88,23,086 | |
| Interest | Not quantified | Not quantified | |
| Penalty | ₹ 1,57,30,210 | ₹ 1,88,23,086 | |
| Total Demand | ₹ 3,14,60,420 | ₹ 3,76,46,172 |
The company stated that it believes the demand is not tenable according to the law and intends to file an appeal with "The Appellate Authority." Aditya Birla Lifestyle Brands Limited indicated that the orders are not expected to have a material impact on its financial, operational, or other activities. The delay in disclosing the information was unintentional and swiftly reported to company executives.
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