Thirumalai Chemicals Receives GST Show Cause Notice Over ITC Non-reversal on Stock Difference
Thirumalai Chemicals Limited has received a show cause notice from the Office of Assistant Commissioner, Central GST and Central Excise, Audit Commissionerate in Vadodara. The action pertains to the non-reversal of Input Tax Credit (ITC) concerning stock differences identified during an audit spanning the period April 2020 to March 2024.The notice was issued under Section 74 of the CGST Act, 2017, based on the taxpayer's audit conducted under Section 65 of the CGST Act, 2017.
The company has noted the details of the alleged violation and is committed to submitting a formal response to the authority within the prescribed timelines.
Audit Dispute Details
Details regarding the notice received by Thirumalai Chemicals Limited are as follows:| Authority Issuing Notice | Nature of Action | Allegation | Quantifiable Impact (Tax) |
|---|---|---|---|
| Assistant Commissioner, Central GST and Central Excise, Audit commissionerate, Vadodara | Show cause notice issued under Section 74 of CGST Act, 2017 | Non reversal of ITC on stock difference | Rs. 33.47 lakhs |
Financial Implications and Company Stance
Regarding the potential fallout from this dispute, Thirumalai Chemicals Limited stated that the financial implication is likely to be very insignificant. The company believes firmly that the demands raised are erroneous and not sustainable and maintains that the matter will not have any material impact on its financial position.TIRUMALCHM Stock Price Movement
Shares of Thirumalai Chemicals Limited shed value aggressively on Wednesday, slipping by 4.59% to settle at ₹144.28. The stock traded vigorously with 710,856 shares changing hands, staying perilously close to its yearly low of ₹143.5.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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