JK Tyre Faces Rs. 69,36,972 Tax Demand Under Central Goods and Service Tax Act, 2017
JK Tyre & Industries Ltd. has received a Demand Order dated 30.03.2026 from the Assistant Commissioner, Delhi South Commissionerate, Division-Okhla, Delhi under Section 74 of the Central Goods and Service Tax Act, 2017. The Order alleges wrongful availment of Input Tax Credit (ITC) for the Financial Year 2019-20, confirming a demand for tax of Rs. 69,36,972/- along with equivalent penalty and applicable interest. The primary reasons cited in the Order are allegedly discrepancies in Input Service Distributor (ISD) credit and mismatches in ITC claimed across different financial years as reported in GSTR-9 and GSTR-9C returns. The Company believes it has a strong case and plans to file an appeal before the appropriate appellate authority.
Key Highlights
- JK Tyre & Industries Ltd. received a Demand Order under Section 74 of the Central Goods and Service Tax Act, 2017.
- The Order alleges wrongful availment of Input Tax Credit (ITC) for the Financial Year 2019-20, confirming a demand for tax of Rs. 69,36,972/- along with equivalent penalty and applicable interest.
- The primary reasons for the demand include allegedly discrepancies in Input Service Distributor (ISD) credit and mismatches in ITC claimed across different financial years.
- The Company believes it has a strong case and intends to file an appeal before the appropriate appellate authority.
- There is no expected financial implication for the Company arising out of such Orders.
Price Impact
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