An order was passed against Sai Life Sciences on November 19, 2025, regarding the Goods and Services Tax Act, 2017. The order includes a demand of INR 20,84,77,738 for IGST, INR 13,75,10,920 for interest, and INR 2,08,47,774 for penalty. The company will file an appeal and anticipates a favorable outcome with no material financial impact.
Order Details
An order was issued on November 19, 2025, by the Joint Commissioner of Commercial Taxes (Appeals), Kalaburagi, concerning the Goods and Services Tax Act, 2017. The order demands payment towards IGST, interest, and penalty.
Financial Implications
The order specifies the following amounts:
- IGST: INR 20,84,77,738
- Interest: INR 13,75,10,920
- Penalty: INR 2,08,47,774
Reason for the Order
The demand relates to the taxability of intermediary services received from Sai Life Sciences Inc., USA, under the reverse charge mechanism for the period from July 2017 to March 2022.
Company’s Response
Sai Life Sciences intends to file an appeal against the order. Based on its assessment, the company is optimistic about a favorable outcome at the Tribunal level and does not anticipate any material adverse impact on its financial position.
Source: BSE
