Dalmia Bharat has received favorable relief for its wholly owned subsidiary, Dalmia Cement (Bharat) Limited. The Office of the Additional Commissioner of CGST (Appeals) has waived off a penalty of ₹11,82,298. This penalty was originally imposed regarding input tax credit claims from the 2017-18 financial year under the Reverse Charge Mechanism. The decision results in no further financial liability for the subsidiary, successfully resolving the disputed tax matter.
Successful Appeal Process
Following an appeal filed by Dalmia Cement (Bharat) Limited, tax authorities have officially set aside a previously imposed penalty. The dispute originated from an order issued by the Assistant Commissioner of Central Tax and Central Excise in Gaya, Bihar, concerning tax credits claimed during the 2017-18 financial year by Dalmia DSP Limited, an entity that has since merged into the subsidiary.
Resolution of Tax Dispute
The penalty, amounting to ₹11,82,298, was initially contested due to complexities surrounding tax liability payments following a sanctioned Resolution Plan. The appellate authority’s recent decision confirms the complete waiver of this amount. Consequently, the company faces no financial impact from this legal proceeding, bringing the matter to a definitive close as of April 30, 2026.
Source: BSE
