Hindustan Zinc Limited (HZL), a Vedanta subsidiary, faces a penalty of ₹73.46 lakhs plus tax demand and applicable interest related to CENVAT credit reversal. The issue involves CENVAT credit availed on cement used as input in mines from July 2016 to June 2017. HZL intends to appeal the order. Vedanta disclosed this information on October 6, 2025.
Penalty for Hindustan Zinc
Hindustan Zinc Limited (HZL) has received an order from the Office of the Commissioner, Central Goods & Service Tax – Udaipur, regarding a penalty related to CENVAT credit. The information was disclosed by Vedanta on October 6, 2025.
Details of the Order
The order confirms a penalty of ₹73,46,112 along with the applicable tax demand and interest. This relates to the reversal of CENVAT credit availed on cement used as input in mines during the period from July 2016 to June 2017.
Company’s Response
HZL intends to appeal the order before the Appellate Authority. The company anticipates a favorable outcome and does not expect this order to have any material financial impact.
Source: BSE
