Shemaroo: Bombay HC refers \u20b9133.61 Cr tax dispute to Larger Bench

Shemaroo Entertainment Ltd. announced that the Hon'ble High Court of Judicature at Bombay, via an order dated April 17, 2026, has referred the questions of law arising in the company's writ proceedings to a Larger Bench for adjudication. The Court further directed that all interim orders, including the direction that no further action shall be taken pursuant to the impugned show cause notice/order, shall continue to remain in force until the Larger Bench decides the issues. The dispute involves an alleged inadmissible Input Tax Credit (ITC) of \u20b970.26 crores, along with interest and an equal penalty, and an additional penalty of \u20b963.35 crores under the CGST Act, 2017. Due to the continuation of interim relief, no coercive action can presently be taken against the company.