Updated Mar 12, 2026 23:03 IST
Tata Group’s giant Tata Steel Limited has had to approach the court to get major relief in a GST related case. The company has filed a petition in the Jharkhand High Court challenging the order of CGST and Central Excise, Jamshedpur.
Tata Group’s giant Tata Steel Limited has had to approach the court to get major relief in a GST related case. The company has filed a petition in the Jharkhand High Court challenging the order of CGST and Central Excise, Jamshedpur, in which the company has been asked to deposit Rs 493.35 crore GST, Rs 638.82 crore penalty and applicable interest thereon. This matter pertains to the period from financial year 2018-19 to 2022-23. The company said in its exchange filing that it had earlier received a show-cause cum demand notice (SCN) from the office of the Commissioner (Audit) of Central Tax, Ranchi on June 27, 2025.
In this notice, accusing the company of misuse of Input Tax Credit (ITC), a demand of GST of about Rs 1007.54 crore was proposed. However, the company clarified that out of this total amount, it had already deposited Rs 514.19 crore GST in the course of its regular business, leaving the actual disputed amount at Rs 493.35 crore. The company said that after receiving the notice, Tata Steel had also presented its side before the concerned authority within the stipulated time limit. Despite this, on December 18, 2025, the Commissioner of CGST and Central Excise, Jamshedpur issued an order directing the company to deposit Rs 493.35 crore tax, Rs 638.82 crore penalty and applicable interest thereon.
Demand to cancel the order
The company says that the explanations and presentations given by it in this matter were not adequately taken into account while taking the decision. Tata Steel believes that it has a strong legal basis in this matter, hence the company has filed a writ petition in the Jharkhand High Court on March 11, 2026, demanding cancellation of this order.
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The company also said that it was reviewing its disclosure obligations, after which this information has now been given to the stock exchange. This disclosure has been made under the Listing Obligation and Disclosure Requirements (LODR) rules of SEBI. At present the company is waiting for the court’s decision in this matter.
stock performance
The company’s shares closed at Rs 193.50 with a decline of 0.64 per cent on Thursday. In the last one year, the company’s shares have seen a rise of 28.74 percent.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice in any way. ET NOW Swadesh recommends its readers and viewers to consult their financial advisors before taking any money-related decisions.
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