Axel Polymers Limited has received an Order-in-Original from the Additional Commissioner, Central GST & Central Excise, Vadodara-II. The order confirms an Input Tax Credit (ITC) demand of ₹31.57 Crore and penalties aggregating to ₹55.06 Crore. The company disagrees with the findings and intends to challenge the order before the appropriate appellate authority and potentially approach the Gujarat High Court.
Significant Tax Order Received by Axel Polymers
Axel Polymers Limited announced on November 6, 2026, that it has received an Order-in-Original from the Office of the Commissioner, Central GST & Central Excise, Vadodara-II. The order, dated November 5, 2026, was passed by the Additional Commissioner, Central GST & Central Excise, Vadodara-II Commissionerate.
Details of the Order
The order stems from a Show Cause Notice issued on January 19, 2026. The adjudicating authority has confirmed an Input Tax Credit (ITC) demand amounting to ₹31.57 Crore. Additionally, penalties aggregating to ₹55.06 Crore have been levied against the company. The total financial implication of this order is ₹86.63 Crore.
Company’s Stance and Future Actions
Axel Polymers Limited stated that it does not agree with the findings and conclusions presented in the order. The company is currently examining the order and assessing the legal and factual grounds available. It intends to challenge the order before the appropriate appellate authority under Section 107 of the CGST Act, 2017, within the prescribed time limit. Furthermore, the company plans to approach the Hon’ble High Court, Gujarat, through a Writ Petition, believing it has strong legal grounds to contest the confirmed demands and findings.
Financial and Operational Impact
The company has indicated that it does not anticipate any immediate impact on its routine business operations at this stage. However, the full financial impact will be determined by the outcome of the legal proceedings.
Source: BSE
