InterGlobe Aviation Limited announced the receipt of an order from the Joint Commissioner of State Tax (Appeals) denying input tax credit (ITC) availed between July 2017 and March 2018. The order imposes a demand along with interest and a penalty totaling INR 1,27,41,663/-. The company maintains that the order is erroneous and intends to aggressively contest the decision before the appropriate legal authority, expecting no significant immediate financial impact.
Tax Appeal Order Received by InterGlobe Aviation
InterGlobe Aviation Limited has disclosed details regarding a recent communication concerning an order passed in GST Appeal Proceedings. The communication was received on February 12, 2026, from the Office of the Joint Commissioner of State Tax, (Appeals) IV Bandra, Mumbai.
Summary of the Demand
The core issue stems from the denial of input tax credit (ITC) availed by the company for the period covering July 2017 to March 2018. Consequently, the department has raised a demand which includes the denied credit along with associated interest and penalties.
Financial Implications and Penalty Details
The specific penalty imposed pursuant to this communication stands at INR 1,27,41,663/-. Despite this assessment, the company stated that there is no significant impact expected on its financials, operations, or other activities. The identified non-compliance issue cited by the authority was the Denial of input tax credit.
Company’s Stance and Future Action
InterGlobe Aviation firmly believes that the order issued by the authorities is erroneous. The management has confirmed that it possesses a strong case on merits, supported by the advice of external tax advisors. Consequently, the company has decided to contest the order before the appropriate authority.
Source: BSE
