KNR Constructions has received a demand notice from the Commissioner of Central Tax and Customs for ₹5.37 crore. The notice cites alleged excess ITC claims, interest on delayed return filings, and penalties. The company plans to appeal the order with the GSTAT, believing it has a strong case. The exact financial impact is still being assessed as of December 29, 2025.
GST Demand Details
KNR Constructions has been informed of an order issued by the Office of the Commissioner of Central Tax and Customs (Appeals) on December 24, 2025, demanding an amount of ₹5,36,71,475.
Grounds for the Demand
The demand is based on the following allegations:
- Allegedly excess ITC taken when compared to GSTR3B vs GSTR2A: ₹1,94,09,608.
- Interest on alleged delayed filing of returns: ₹23,04,099.
- Penalty for alleged delay in filing returns and excess claim of ITC: ₹3,12,97,208.
- Alleged ineligible ITC due to suppliers not filing GSTR3B: ₹31,786.
- Alleged wrong claim of normal IGST ITC taken on import IGSTRs: ₹6,28,774.
Company Response
KNR Constructions intends to file an appeal with the GSTAT based on the merits of the case. The company is assessing the potential impact on its financial operations.
Source: BSE
