Birla Corporation Limited announced that its wholly owned subsidiary, RCCPL Private Limited, has received a demand-cum-show cause notice from the Joint Commissioner of Central Goods & Service Tax & Central Excise, Nagpur. The notice pertains to the alleged wrongful availment of Input Tax Credit (ITC) for the financial years 2020-21 and 2022-23, amounting to approximately ₹10,30,06,338, along with an equivalent penalty and applicable interest. The company stated there is no impact on its financial operations and that the subsidiary has received a favourable order in a similar past matter.
Subsidiary Receives Tax Notice
Birla Corporation Limited has disclosed that one of its wholly owned material subsidiaries, RCCPL Private Limited (RCCPL), has been issued a demand-cum-show cause notice. The notice originates from the Joint Commissioner, Central Goods & Service Tax (CGST) & Central Excise, Nagpur-I Commissionerate.
Details of the Notice
The notice, issued under Section 74(1) of the Central Goods and Services Tax Act, 2017, and allied acts, alleges wrongful availment of Input Tax Credit (ITC). This pertains to a negative balance reflected in Table 8D of GSTR-9 for the financial years 2020-21 and 2022-23. The total amount in question is approximately ₹10,30,06,338, which includes a demand for an equivalent penalty and applicable interest.
Company’s Stance and Potential Impact
The company has asserted that this demand-cum-show cause notice has no merits and is not maintainable, as it is based on the differential Input Tax Credit reflected in Table 8D of GSTR-9. Significantly, RCCPL has reportedly received a favourable order in a similar matter previously. Birla Corporation stated that there is no impact on the financial, operations, or other activities of RCCPL due to this notice. The subsidiary is in the process of submitting its reply within the prescribed timeline.
Disclosure Compliance
This intimation has been made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The information was received by the Company on 11th August 2026 at approximately 12:57 p.m. (IST) and is also available on the company’s website.
Source: BSE
