Nuvoco Vistas Corporation has received an order from the Joint Commissioner, CGST & Central Excise, Raipur, concerning the period spanning FY 2019-20 to September 2024. The order partially accepts the Company’s contentions but reiterates allegations regarding invoicing by Carrying and Forwarding Agents (C&FA). The resulting demand is ₹104.76 crores (tax and penalty), but the Company believes the demand is legally unsustainable and anticipates no ultimate financial impact.
Receipt of Tax Authority Order
Nuvoco Vistas Corporation Ltd. has formally received an order passed by the Joint Commissioner, CGST & Central Excise, Raipur, on March 27, 2026. This order pertains to a show cause notice issued for the tax period covering Financial Year 2019–20 through September 2024 of FY 2024–25.
Dispute Details and Authority Findings
The regulatory agency partially accepted the Company’s arguments but simultaneously sustained allegations that invoicing carried out by the appointed Carrying and Forwarding Agents (C&FA) was done without the actual supply of cement.
Furthermore, the adjudicating authority based its decision on an assumption that supply was missing, allegedly stemming from incorrect/typographical errors in vehicle number data entry for supplies made from C&FA warehouses to channel partners during the specified period.
Financial Implications Assessed
The order has resulted in a revised tax demand, totaling ₹104.76 crores. This figure comprises a reduced amount of revised tax demand of ₹34.92 crores and a penalty amounting to ₹69.84 crores.
Company Stance and Legal Strategy
The management strongly disputes the basis of this demand. The Company is currently reviewing the order and proposes to challenge it before the appropriate forum based on comprehensive legal advice. Management asserts that the demand lacks basis in law, is unsustainable, and crucially, is expected to have no ultimate financial impact on the Company, provided sufficient evidence proves the genuineness of the transactions.
Source: BSE
