Tata Steel has challenged a recent GST Adjudication Order dated December 18, 2025, concerning the period FY2018-19 through FY2022-23. The order demands tax and a significant penalty totaling over ₹1132 crore. Believing the original submissions were not properly considered, the Company filed a Writ Petition before the Hon’ble High Court of Jharkhand on March 11, 2026, seeking the quashing of the order.
Background on GST Demand Notice
Tata Steel Limited confirms receiving a Show Cause Notice (SCN) on June 27, 2025, from the Central Tax authorities in Ranchi. This SCN proposed the disallowance of Input Tax Credit (ITC) across various GST Acts for the financial years spanning FY2018-19 through FY2022-23. The initial demand sought recovery of ₹1,007.54 crore in GST, interest, and penalties. The Company notes that ₹514.19 crore of this aggregate amount had already been paid during the normal course of business, leaving an alleged exposure of ₹493.35 crore.
Receipt of Adjudication Order
Subsequently, on December 19, 2025, the Company announced receiving the Adjudication Order dated December 18, 2025. This final order directed the payment of the principal tax amount of ₹493,35,47,131, a penalty of ₹638,82,62,185, and associated interest.
Current Legal Status and Company Belief
The Company’s management has thoroughly evaluated the Order. Tata Steel firmly believes that the adjudicating authority failed to give proper cognizance to the detailed submissions made by the Company. Based on this assessment, management confirms they have a good case on merits.
Consequently, on March 11, 2026, Tata Steel filed a Writ Petition before the Hon’ble High Court of Jharkhand. The objective of this legal filing is the quashing of the December 18, 2025 Order. This disclosure is being made on the even date in compliance with regulatory requirements.
Source: BSE
