Kalpataru Projects International Limited received an Order under the provisions of Section 73 of the State Goods and Services Tax Act, 2017 read with relevant provisions of the Central Goods and Services Tax Act, 2017 and the rules made thereunder, from the GST Authority on April 24, 2024. The consortium has a strong case to defend the matter before the Authorities and plans to file the rectification application or an appeal against the said Order within prescribed timelines. The authority has demanded GST along with interest and penalty pertaining to a consortium wherein the Company is a member for the Financial Year 2018-19 on grounds of alleged suppression of taxable turnover and accordingly, tax thereon.

The authority has demanded to pay an aggregate tax amount of INR 1.796 million along with interest of INR 1.622 million and penalty of INR 0.179 million.