Welspun Enterprises Receives GST Show Cause Notice for ₹71.24 Cr

Welspun Enterprises Ltd has received a Show Cause Notice (SCN) from the State GST Authority in Uttar Pradesh. The notice, issued under Section 74 of the CGST Act, 2017, proposes a demand of approximately ₹71.24 Crore, plus applicable interest and penalty. This demand is related to alleged short payment of tax and excess availment of Input Tax Credit (ITC) for the Financial Year 2022-23. The SCN requires clarification on GST applicability for certain expenses/income and ITC availment on specific supplies. The company believes the demand is not maintainable and expects it to be set aside, foreseeing no material financial or operational impact.