Chalet Hotels has received orders from the GST Department, Maharashtra, regarding a demand of ₹160.02 million. This includes interest of ₹65.13 million and a penalty of ₹47.45 million. The demand is related to mismatches and excess ITC credit, along with blocked ITC for FY 2018-19. The company intends to contest the orders.
GST Demand Received
Chalet Hotels has been notified of orders issued by the GST Department – Maharashtra State on December 31, 2025. The orders pertain to section 74 of the Goods and Services Tax Act 2017.
Details of the Demand
The total demand amounts to ₹160.02 million. This figure includes an interest component of ₹65.13 million and a penalty of ₹47.45 million. The GST liability arises from discrepancies found in the Input Tax Credit (ITC) claimed by the company.
Specifically, the issues relate to:
- Mismatch in Input Tax Credit claimed
- GST liability regarding uniforms and shoes provided to employees
- ITC reversal on ineligible/blocked ITC related to construction
Company Response
Chalet Hotels believes that these orders are contestable and plans to pursue appropriate legal action. The company has stated that its business operations remain unaffected and continue as normal.
Source: BSE
