JK Tyre Receives Demand Order Under CGST Act
JK Tyre & Industries Limited announced today, April 1, 2026, that it has received a Demand Order dated March 30, 2026, from the Assistant Commissioner, Delhi South Commissionerate, Division-Okhla, Delhi, under Section 74 of the Central Goods and Service Tax Act, 2017.The Order-in-Original pertains to the financial year 2019-20 and alleges wrongful availment of Input Tax Credit (ITC). As a result of the order, JK Tyre faces a demand for tax of Rs. 69,36,972, along with an equivalent penalty of Rs. 69,36,972 and applicable interest. The reasons cited in the order include discrepancies in Input Service Distributor (ISD) credit and mismatches in ITC claimed across different financial years, as reported in GSTR-9 and GSTR-9C returns.
The company intends to file an appeal before the appropriate appellate authority and believes it has a strong case. JK Tyre anticipates no material financial impact arising from this Order.
| Detail | Information |
|---|---|
| Type of Communication | Demand Order |
| Date of Receipt | March 30, 2026 |
| Authority | Assistant Commissioner, Delhi South Commissionerate |
| Financial Year | 2019-20 |
| Demand | Rs. 69,36,972 |
| Penalty | Rs. 69,36,972 |
| Action Planned | Appeal to appellate authority |
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