VST Industries has received a tax demand order from the Andhra Pradesh Goods and Services Tax authorities. The order, amounting to Rs 73,78,194 including penalties, pertains to the non-payment of refund amounts related to export proceeds for the period between FY 20-21 and FY 23-24. The company has formally stated its disagreement with the demand and intends to pursue appropriate appellate action to contest the claim.
Details of the Tax Order
On April 7, 2026, VST Industries was served with an order under Section 74 of the Goods and Services Tax Act in the state of Andhra Pradesh. The authority has raised a total demand of Rs 73,78,194, a figure that includes applicable penalties.
Basis of the Demand
The regulatory demand concerns the non-payment of refund amounts that are proportional to the value of exports. The authorities allege that for the period spanning FY 20-21 through FY 23-24, export proceeds were not realized within the stipulated timeframes required by tax regulations. Consequently, the tax authorities have issued this order to recover the proportional refund amounts.
Company Response and Outlook
VST Industries has evaluated the order and has officially communicated that it does not agree with the findings of the tax authority. The company maintains that the demand is unjustified and has confirmed that it will initiate appropriate appellate proceedings to challenge the order. At this time, the maximum financial impact to the entity is limited to the total amount demanded in the notice.
Source: BSE
