Schaeffler India Faces INR 3.59 Crore Penalty Related to Input Tax Credit

Schaeffler India has received an order imposing a penalty of INR 3.59 crore related to the disallowance of Input Tax Credit (ITC). The order, issued by the Additional Commissioner of Goods and Service Tax and Central Excise, Salem, Gujarat, pertains to alleged contraventions regarding ITC. Schaeffler India is planning to appeal the order with the Commissioner of Goods and Service Tax and Central Excise, Salem, Gujarat.

Penalty Imposed for ITC Disallowance

Schaeffler India has been penalized INR 3,59,51,098 (Rupees Three Crore Fifty-Nine Lakh Fifty-One Thousand and Ninety-Eight only) following an order from the Additional Commissioner, Goods and Service Tax and Central Excise, Salem, Gujarat. The order, received on December 18, 2025, relates to the disallowance of Input Tax Credit (ITC).

Details of Alleged Non-Compliance

The issue concerns alleged contraventions concerning Input Tax Credit (ITC). The specific details related to the disallowance were not specified in the announcement.

Company’s Response

Schaeffler India intends to challenge the order. The company is in the process of filing an appeal with the Commissioner of Goods and Service Tax and Central Excise, Salem, Gujarat. According to the announcement, the company does not expect any material impact on the financials, operations or other activities of the company.

Source: BSE

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