Blue Dart received an update regarding a Show Cause Cum Demand Notice. An initial demand of Rs. 420,78,86,561 was substantially reduced following adjudication. The revised demand stands at Rs. 64,98,000 plus applicable interest and a penalty. Blue Dart voluntarily accepted and discharged the revised tax and interest to avoid prolonged litigation.
Adjudication Outcome
Blue Dart received an update on the Show Cause Cum Demand Notice. After detailed submissions, the adjudicating authority substantially dropped the demand raised.
Financial Impact
Out of the initially proposed demand of Rs. 420,78,86,561, an amount of Rs. 420,13,88,561 was set aside. The issues related to the determination of the place of supply and input tax credit availment. Following revisions, the final demand amounted to Rs. 64,98,000, with applicable interest of Rs. 41,71,807 and a penalty of Rs. 6,49,800.
Resolution
Blue Dart voluntarily accepted and discharged the revised tax and interest to avoid protracted litigation, resolving the matter.
Details of Dropped Amounts
An amount of Rs.365,58,01,534 relating to GST payable on intra-state supplies made during FY 2021-22 to 2022-23 has been dropped.
The amount of Rs. 54,55,87,027 proposed towards ineligible ITC taken on invoices issued by Blue Dart offices at other states has been dropped.
Confirmed Amounts and Payments
The amount of Rs. 64,98,000 was confirmed and paid via Form DRC-03. Interest of Rs.41,71,807 was also paid. A penalty of Rs. 6,49,800 was imposed.
Source: BSE
