Torrent Power Limited has received an order from the Joint Commissioner, CGST Ahmedabad South, concerning a conditional refund of GST paid on Ocean Freight. The order pertains to directions from the Hon’ble Supreme Court of India. While the company transferred the amount to the consumer welfare fund, a demand has been raised for Rs 4.54 crore in interest and Rs 1.93 crore in penalty. Torrent Power intends to challenge this order.
Torrent Power Receives GST Order
Torrent Power Limited announced on November 06, 2026, that it has received an order from the Joint Commissioner, CGST Ahmedabad South, related to a conditional refund of GST paid on Ocean Freight. This order stems from directions issued by the Hon’ble Supreme Court of India, following which the company had transferred the applicable amount to the consumer welfare fund.
Demand for Interest and Penalty
The order issued under Section 74A(1) of the Central Goods and Services Tax Act, 2017, includes a demand for interest amounting to Rs 4.54 crore and a penalty of Rs 1.93 crore. The total demand raised is therefore Rs 6.47 crore.
Company’s Stance and Challenge
Torrent Power Limited believes that as the Hon’ble High Court had allowed the conditional refund and the company acted in accordance with its directions, the question of interest and penalty should not arise. The company plans to challenge the order before the appropriate authority and is optimistic about a favorable outcome. Management assesses that this order will not have any material financial impact on the Company.
Source: BSE
