Travel Food Services Receives Substantial Relief Following CGST Rectification Order
Travel Food Services Limited announced that it received a Rectification Order from the Office of the Commissioner of CGST and Central Excise, Mumbai Central, Mumbai. The order, dated May 21, 2026, granted substantial relief to the company by significantly reducing an earlier tax demand and penalty amount.The company received the Rectification Order on May 27, 2026. The alleged violation centered on a variance in Tax Liability, which was attributed to mismatched Input Tax Credit (ITC) across records (specifically returns versus the GST portal/GSTR 9) and excess ITC availment.
The Rectification Order details the financial adjustment, significantly lowering the total demanded amount. The total demand and penalty amount were reduced from INR 40,20,34,815/- to INR 14,40,00,796/-.
The financial breakdown detailed in the Rectification Order is as follows:
| Component | Original Demand/Penalty | Reduced Tax Demand | Reduced Penalty | Interest |
|---|---|---|---|---|
| Amount (INR) | 40,20,34,815/- | 7,20,00,398 | 7,20,00,398 | Not quantified |
The company stated that the aforementioned demand, even after the reduction, has no material impact on its financials or operational activities.
Travel Food Services Limited noted that it continues to believe the Rectification Order was passed without considering the complete facts presented by the company. Consequently, the company confirmed its intention to take appropriate steps, including filing an appeal with the relevant authorities, based on the merits of the matter and applicable laws.
TRAVELFOOD Stock Price Movement
On Wednesday, Travel Food Services Limited shares edged higher, gaining 1.98% to settle at ₹1221.9. The stock traded on a strong volume, recording 76,890 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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