Patanjali Foods Limited has announced the successful closure of GST proceedings initiated by the Assistant Commissioner (ST), Royapuram Assessment Circle, Chennai. A show cause notice demanding ₹135,29,49,106 for alleged discrepancies in GST returns for FY 2022-23 has been dropped. The company’s submitted reply was found acceptable, confirming no short payment of tax and resulting in the closure of the matter with no financial impact.
GST Proceedings Concluded Favorably
Patanjali Foods Limited has received a significant update regarding Goods and Services Tax (GST) proceedings initiated by the Office of the Assistant Commissioner (ST), Royapuram Assessment Circle, Chennai. The company has been informed that the demand proceedings, initiated via DRC-01, have been dropped, and the matter is now considered closed.
Background of the Proceedings
The proceedings stemmed from a Show Cause Notice issued on May 25, 2026, concerning alleged discrepancies in the company’s GST returns for the financial year 2022-23. The initial demand amounted to ₹135,29,49,106, plus applicable interest.
Company’s Response and Resolution
Patanjali Foods Limited submitted a comprehensive reply to the notice. Following a review of the company’s submissions and relevant records, the Authority found the reply to be acceptable. The Authority observed that there was no short payment of tax for the period under scrutiny. Consequently, an order was passed rectifying an error apparent on record under Section 161 of the Tamil Nadu Goods and Services Tax Act, 2017.
Outcome and Financial Impact
As a result of the favorable resolution, the proposed demand has been dropped, and the proceedings initiated vide DRC-01 have been closed. The company has confirmed that there is no financial impact on Patanjali Foods Limited arising from this order.
Disclosure Compliance
This disclosure is made in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. Further details as required under the regulations are provided in Annexure A and Annexure B of the original filing.
Source: BSE
