Finolex Cables Limited has received a tax demand order from the Additional Commissioner, Central GST, Dehradun. The order, dated March 30, 2026, alleges discrepancies regarding input tax credits, e-way bills, and payments to creditors. The company has contested the assessment, characterizing it as ill-considered, and plans to challenge the ₹29.46 crore liability by filing an appeal with the relevant Appellate Authority.
Details of the Tax Order
Finolex Cables Limited announced on April 1, 2026, that it is in receipt of an order from the Additional Commissioner of Central GST, Dehradun, issued on March 30, 2026. The order follows a show-cause notice regarding specific accounting and reporting discrepancies. The company maintains that the order was issued without proper application of mind and intends to pursue legal recourse through the Appellate Authority to contest the findings.
Financial Impact
The total demand confirmed by the authorities amounts to ₹29,46,09,345. This figure comprises a primary tax demand of ₹29,44,22,806 and an associated penalty of ₹1,86,539. Despite the size of the demand, the company has clarified that this order is not expected to have any major impact on the day-to-day operations of the business.
Alleged Contraventions
The tax authorities have based their demand on three primary areas of alleged non-compliance: mismatches in input tax credit (ITC), inconsistencies in e-way bill reporting, and instances of delayed payments to creditors. The company is currently preparing its formal appeal to address these allegations and provide the necessary reconciliations to the appellate body.
Source: BSE
