Gopal Snacks Limited receives Show Cause Notice regarding HSN code misclassification and GST liability
Gopal Snacks Limited has been issued a Show Cause Notice (SCN) by the Additional Commissioner of CGST HQ, Rajkot concerning matters related to the misclassification of HSN codes. The notice pertains to the company's transactions during the financial year 2022-23.The intimation relates to the classification of Fried Fryms and requires a specific GST liability amount. Gopal Snacks Limited was advised that the total differential GST liability stands at Rs. 16,55,65,440/-. The company received the communication from the authority on June 4, 2026.
Details regarding the compliance matter are outlined below:
| Authority Name | Nature of Action | Period Covered | Alleged Violation | Financial Liability |
|---|---|---|---|---|
| Additional Commissioner, CGST HQ, Rajkot Gujarat | Show Cause Notice under Section 73(3) of CGST Act, 2017 towards GST liabilities | FY 2022-23 | Misclassification of HSN code for Fried Fryms | Rs. 16,55,65,440/- |
The company has addressed the matter by filing Writ Petitions before the Hon'ble High Court of Gujarat against SCNs related to earlier financial years (FY2017-18 to FY2021-22), securing stays on those matters which remain pending judicial review. Gopal Snacks Limited stated that it plans to challenge the current SCN by filing its reply and submissions before the relevant authorities, aiming to secure similar protection against the liability notice for FY2022-23.
Regarding operational impact, the company confirmed there is no material impact on financials or operations stemming from this particular tax intimation. Gopal Snacks Limited stated it will provide updates to the stock exchanges if any material development occurs in relation to the matter.
GOPAL Stock Price Movement
Shares of Gopal Snacks Limited today slipped by 1.91% to settle at ₹284.65 in post-market trading. The stock traded near its day low, with 191,924 shares exchanged during the session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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