Kalpataru Projects International Limited has received an order from the Central Excise & GST Authority regarding a tax demand. The demand pertains to erstwhile JMC Projects (India) Limited (now amalgamated with Kalpataru) for the financial year 2014-15. The issue concerns the alleged wrongful availment of Cenvat credit, with a potential penalty of INR 7.11 Crores. The company intends to appeal the order.
Tax Authority Order Received
Kalpataru Projects International Limited announced that it has received an order from the Central Excise & GST Authority on December 5th, 2025. The order, issued at approximately 02:30 P.M. (IST), relates to a tax demand.
Details of the Demand
The tax demand pertains to the period when JMC Projects (India) Limited, which has since been amalgamated with Kalpataru Projects, allegedly made a wrongful claim regarding Cenvat credit during the financial year 2014-15. The authority has demanded tax, interest, and a penalty.
Financial Impact and Company Response
The authority has demanded a penalty of INR 7.11 Crores. However, the company believes it has a strong case and intends to appeal the order before the Appellate Authority. Kalpataru Projects emphasizes that this issue does not have any significant impact on the Company.
Source: BSE