Patanjali Foods' GST Demand Proceedings Dropped After Authority Accepts Company's Reply
Patanjali Foods Limited has successfully concluded a tax dispute after an authority dropped proceedings initiated against the company regarding alleged discrepancies in its Goods and Services Tax (GST) returns.The resolution follows a review of a show cause notice issued to Patanjali Foods, which detailed allegations concerning GST returns for the financial year 2022-23. The initial demand proposed by the regulatory authority amounted to Rs. 1352,92,49,106/- towards GST plus interest thereon.
The company responded to the show cause notice submitted by the Office of the Assistant Commissioner (ST), Royapuram Assessment Circle in Chennai. Following the examination of Patanjali Foods' reply and relevant records, the authority accepted the submissions made by the company. The ruling observed that no short payment of tax existed for the period under scrutiny.
Consequently, the authority passed an order rectifying the apparent error on record under Section 161 of the Tamil Nadu Goods and Services Tax Act, 2017, and dropped the proceedings which had been initiated through DRC-01. The matter has since been treated as closed.
The outcome ensures that the company does not expect any financial liability from these concluded proceedings, as the matter was dropped by the authority.
Key details regarding the GST dispute are summarized below:
| Particulars | Details |
|---|---|
| Company | Patanjali Foods Limited |
| Authority Issuing Notice | Office of the Assistant Commissioner (ST), Royapuram Assessment Circle, Chennai |
| Period Under Scrutiny | FY 2022-23 |
| Initial Demand Amount | Rs. 1352,92,49,106/- (GST plus interest) |
| Resolution | Proceedings dropped and matter treated as closed after the authority accepted the company's submissions. |
| Financial Impact | No financial liability expected since proceedings were dropped. |
PATANJALI Stock Price Movement
On Friday, Patanjali Foods Limited shares rallied by 1.84% to close at ₹425.55, driven by positive market sentiment. The equity traded a volume of 2.39 million shares 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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