Heritage Foods has successfully concluded an appeal against the Central Tax (Appeals) authority concerning the classification of Flavoured Milk. The favorable order, dated February 20, 2026, set aside a previous order from December 2024. As a result, the company is now entitled to a GST refund totaling ₹50.26 Lakhs, covering IGST, CGST, and SGST amounts paid under protest.
Successful Conclusion of Central Tax Appeal
Heritage Foods Limited announced today the receipt of a favorable order from the Additional Commissioner, Central Tax (Appeals), Mysuru, Karnataka. This ruling resolves a long-standing dispute regarding the classification of Flavoured Milk.
The appellate authority issued the order on February 20, 2026, granting relief to the Company. This decision specifically sets aside the impugned Order No. 218/2024-25, which was originally passed by the Assistant Commissioner, CGST, Division-6, Bengaluru West, on December 23, 2024.
Period Under Review and Financial Implications
The matter under review pertains to the period from July 1, 2017, to March 31, 2021.
Crucially, the favorable order entitles Heritage Foods to reclaim GST previously paid under protest. The total expected financial implication is a refund amounting to ₹50.26 Lakhs, broken down as follows:
- IGST: ₹00.80 Lakhs
- CGST: ₹24.73 Lakhs
- SGST: ₹24.73 Lakhs
Company Action Taken
The communication confirmed that no non-compliances or restrictions were identified by the authority. The appellate authority’s ruling was entirely in favor of the Company, with Nil penalty imposed.
Heritage Foods confirmed that it is currently in the process of filing the necessary refund application for the recovered GST amount, along with accrued interest on the pre-deposit made earlier.
Source: BSE