IRCON moves Uttarakhand High Court against Rs 72.41 crore GST notice

New Delhi: IRCON International Limited, a state-owned infrastructure company, has approached the Uttarakhand High Court at Nainital challenging a GST notice involving alleged inadmissible Input Tax Credit (ITC) of Rs 72.41 crore.

Follow The PSUWatch Channel on Whatsapp

According to the company's regulatory filing to the stock exchanges on October 26, the notice was issued by the Joint Commissioner of the CGST Audit Commissionerate, Dehradun, seeking an explanation over the alleged wrongful availment and utilisation of ITC amounting to Rs 72,41,05,710.

The tax authority's allegation relates to ITC claimed against invoices for works contract services supplied by subcontractors. The amount involved in the dispute is Rs 72.41 crore.

Follow PSU Watch on LinkedIN

During the initial hearing on October 26, the High Court directed the GST department to file its counter-affidavit within four weeks and asked IRCON to submit its reply to the show cause notice within two weeks.

The court also directed the tax authority not to pass any final order in the matter until the next date of hearing.

The matter remains pending before the court, with the interim direction providing IRCON an opportunity to respond to the tax department's allegations.

(PSU Watch is India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy. 👉 Click to join our channel now: PSUWatch WhatsApp Channel. Prefer LinkedIn? Follow PSU Watch on LinkedIN. Click to stay connected on Twitter here and stay updated.)