Vedanta has received an order from the Joint Commissioner of CGST & CX, Hqrs. Ranchi, confirming a penalty of INR 54,61,78,958 along with applicable tax demand and interest. The issue relates to GST payments on various financial income streams and the reversal of input tax credit related to defaulting vendors for FY 2018-19 to FY 2022-23. The company intends to appeal the order.
Details of the Penalty Order
Vedanta has received an order from the Office of the Principal Commissioner of Central Goods & Service Tax & Central Excise, Ranchi, concerning Goods and Services Tax (GST). The order, received by ESL on December 30, 2025, confirms a penalty related to specific issues with GST payments.
Financial Implications and Context
The order, issued by the Joint Commissioner of CGST & CX, Hqrs. Ranchi, confirms a penalty of INR 54,61,78,958, in addition to the applicable tax demand and interest. The matter pertains to GST payments on various financial income and the reversal of input tax credit concerning defaulting vendors for the financial years 2018-19 to 2022-23.
Company Response and Next Steps
Vedanta intends to file an appeal against the order with the relevant appellate authorities. While the company is hopeful of a favorable outcome, it does not anticipate any material financial impact from this order.
Source: BSE
