Leela Palaces Hotels & Resorts Subsidiary Receives CGST Order of INR 39,07,974
Leela Palaces Hotels & Resorts Ltd. has informed about an Order received by its material subsidiary, Tulsi Palace Resort Private Limited (TPRPL), from the Office of the Assistant Commissioner, Central Goods and Services Tax Division, Jaipur East. The Order, passed under Section 74 of the CGST Act, 2017, confirms a demand of INR 39,07,974 along with interest and penalty. The demand is allegedly for wrongful reduction of output tax liability through incorrect reporting of credit notes. However, the Company has stated that there is no material impact on its financial, operational, or other activities. TPRPL is currently evaluating appropriate legal remedies under the applicable laws, including filing an appeal against the said order.
Key Highlights
- Leela Palaces Hotels & Resorts subsidiary received a CGST Order from Jaipur East office.
- Order passed under Section 74 of the CGST Act, 2017 confirming a demand of INR 39,07,974 along with interest and penalty.
- Demand allegedly for wrongful reduction of output tax liability through incorrect reporting of credit notes.
- Company stated no material impact on financial, operational, or other activities.
- TPRPL evaluating legal remedies, including filing an appeal against the order.