EIH Limited has been levied a penalty of ₹29,97,50,261 by the Additional Commissioner of State Tax, Mumbai, following a review order issued on February 6, 2026. The penalty relates to the Financial Year 2016-17 and concerns an arbitrary increase in Food & Beverage income, as well as other output services. The company is currently evaluating the legal merits of the review order and will initiate appropriate legal proceedings.
Tax Penalty for FY 2016-17
EIH Limited has received a penalty notice from the Additional Commissioner of State Tax, Mumbai. The review order, dated February 6, 2026, imposes a penalty of ₹29,97,50,261.
Details of the Penalty
The penalty is assessed under Section 25 of the Maharashtra VAT Act, 2002, and pertains to the company’s hotels and divisions located in Mumbai. Specifically, it relates to an arbitrary enhancement in Food & Beverage income and other output services during the Financial Year 2016-17.
Company Response
EIH Limited had previously opted for the Amnesty Scheme under the Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late Fee Act, 2023, for FY 2016-17. A settlement order dated December 18, 2023, confirmed the acceptance of the company’s settlement application.
The company is now evaluating the legal merits of the current review order and will initiate legal proceedings as necessary.
Source: BSE
