ICICI Lombard General Insurance Company Limited has announced the successful outcome of appeals filed with the Customs, Excise & Service Tax Appellate Tribunal (CESTAT), Mumbai. The appeals, concerning demands totaling ₹1,095.68 Million and ₹1,186.88 Million for various fiscal years, have been allowed in favor of the company. This development signifies a favorable resolution to past tax disputes, reducing contingent liabilities and positively impacting the company’s financial standing.
Positive Resolution on Tax Appeals
ICICI Lombard General Insurance Company Limited has received favorable orders from the Customs, Excise & Service Tax Appellate Tribunal (CESTAT), Mumbai. This follows previous intimations regarding appeals filed against demands raised by tax authorities. The company was initially informed on January 12, 2026, that its appeals regarding aggregate demands of ₹1,095.68 Million (for FY2008-09 to FY2011-12, FY2013-14 & FY2014-15) and ₹1,186.88 Million (for FY2011-12), including penalties, had been allowed.
Confirmation of Favorable Outcome
Further to the earlier intimation, ICICI Lombard confirmed on June 9, 2026, that copies of all appeal orders from the CESTAT have been received. The orders definitively confirm that the appeals filed have been allowed in favor of the company. This resolution signifies a significant positive development for ICICI Lombard.
Details of the Appeals
The appeals were related to a short reversal of Cenvat Credit under the Finance Act, 1994, for the periods FY2008-09 to FY2011-12 and FY2013-14 & FY2014-15, as well as the denial of Cenvat credit on certain expenses pertaining to FY2011-12.
Financial Implications
The financial implications of the original demands were substantial:
- For FY2008-09 to FY2011-12, FY2013-14 & FY2014-15: Service Tax demand of ₹547.84 Million, interest as per Section 75 of the Finance Act, 1994, and a penalty of ₹547.84 Million.
- For FY2011-12: Service Tax demand of ₹593.44 Million, interest as per Section 75 of the Finance Act, 1994, and a penalty of ₹593.44 Million.
These demands had been previously disclosed as contingent liabilities in the company’s financial statements. Consequently, the contingent liability of the company has been reduced to the extent of the demand set aside by the tribunal.
Compliance and Disclosure
ICICI Lombard has declared that the information and details provided in Annexure 2 are true, correct, and complete to the best of its knowledge and belief, in compliance with relevant regulations. The company will also make this information available on its website, www.icicilombard.com.
Source: BSE
