SCI has received an order dated March 11, 2026, from the Joint Commissioner of State Tax (Appeal-VI) regarding a prior dispute. The order confirms a revised tax demand of ₹60,06,97,357, significantly lower than the original demand of ₹1,60,37,35,973. The dispute primarily involves the mismatch of Input Tax Credit (ITC) with GSTR-2A. The Company is currently reviewing the order and exploring options, including a potential appeal.
Update on Pending Litigation and Disputes
The Shipping Corporation of India Ltd. (SCI) provides an update regarding a significant litigation matter previously disclosed in August 2024 concerning an appeal filed against an order issued by the Deputy Commissioner of State Tax in Mumbai. The Company is now in receipt of a formal order dated March 11, 2026, from the Joint Commissioner of State Tax (Appeal-VI), Mumbai.
Revised Demand Confirmed
The received order confirms a revised demand totaling ₹60,06,97,357. This revised amount comprises a tax component of ₹29,08,88,754, along with applicable interest and penalties. This outcome is a reduction compared to the original demand of ₹1,60,37,35,973.00 (which included a tax component of ₹77,66,21,740 plus interest and penalty).
The primary contention leading to this demand is stated to be the Mismatch of Input Tax Credit (ITC) with GSTR-2A.
Next Steps and Financial Outlook
The Company received this communication on March 13, 2026. SCI is currently undertaking a detailed review of the order and evaluating all potential next steps. Management is actively exploring all avenues to contest the demand, which includes the possibility of filing a further appeal against this order. Management retains confidence, stating they believe there is strong merit in the case.
Source: BSE
