KEC International has disclosed the receipt of an order from the Assistant Commissioner (ST), Salem, imposing a penalty of ₹17,12,024/- under the Central Sales Tax Act. The penalty is related to a mismatch in turnover for the Assessment Year 2014-15. The company is currently reviewing the order and will seek appropriate legal remedies, stating that it does not anticipate any material financial impact from this development.
Penalty Imposed for Tax Irregularity
KEC International Limited has announced that it has received an official order from the Assistant Commissioner (ST), Salem, Tamil Nadu. This order mandates the company to pay a penalty amounting to ₹17,12,024/-. The penalty has been levied under the provisions of the Central Sales Tax Act and is associated with the Assessment Year 2014-15.
Company’s Stance and Next Steps
The penalty arises from an alleged mismatch in the company’s turnover for the specified assessment year. KEC International has indicated that it is in the process of perusing the order in detail. The company plans to seek appropriate legal remedies to contest the demand. Importantly, KEC International has also stated that it does not foresee any material financial impact on its operations or financial standing as a consequence of this penalty order.
Source: BSE
