Britannia’s Humble Stand: Ready to Defend Against ₹254 Million Tax Demand

Britannia Industries Limited has received an order from the Office of the Additional Commissioner of Central Goods and Services Tax & Central Excise (CGST & CX), demanding a tax payment of ₹254.2 million. The order, issued under relevant provisions of the Central Goods and Services Tax Act, 2017, pertains to alleged discrepancies in input tax credit claims and transactional credits disallowed by the authorities.

 

The tax demand includes principal tax, interest, and penalty components, reflecting the outcome of a detailed review by the tax department. Britannia Industries has clarified in its regulatory filing that the order is appealable, and the company intends to pursue all available legal remedies under the GST law. The company has faced similar tax demands in recent months from various regional CGST offices, often related to input tax credit mismatches or rate disputes, and has consistently indicated its intention to challenge such orders before appellate authorities.

 

Britannia maintains that it is committed to complying with all applicable tax regulations and will continue to defend its position through the appropriate legal channels. The company has assured stakeholders that it does not expect any material impact on its financials as it navigates the appeals process.

 

Source: Economic Times Legal, MarketScreener