Exato Technologies Faces ₹41,046 Demand from CGST & Central Excise Division - X, Mumbai East

Exato Technologies Ltd. has received an order from the Office of the Assistant Commissioner of CGST & Central Excise Division - X, Mumbai East, confirming a demand of Input Tax Credit (ITC) amounting to ₹41,046 (CGST of ₹20,523 and SGST of ₹20,523) for the period from April 2019 to March 2020. The order also includes interest under Section 50(1) of the CGST Act, and MGST Act, 2017 read with Section 20 of the Integrated Goods and Services Tax Act, 2017 and a penalty amounting to ₹41,046 under Section 74(1) of the CGST Act, 2017 and MGST Act, 2017 read with Section 20 of the Integrated Goods and Services Tax Act, 2017. The company does not expect any material financial or operational impact and is evaluating the order and appropriate action, including filing an appeal if required.