Suraj Estate Developers Ltd has received a GST demand of Rs 18.61 crore and a penalty of Rs 18.43 crore from the Mumbai Central CGST Commissioner for audit findings spanning FY 2018-19 to FY 2022-23. The company disputes the demand, citing payments to BMC and other statutory authorities, and intends to appeal the order.
Suraj Estate Developers Ltd has disclosed that it received an adjudication order from the Office of the Additional Commissioner CGST & Central Excise, Mumbai Central, on December 19, 2025. The order, dated December 15, 2025, details a GST demand of Rs 18.61 crore and a penalty of Rs 18.43 crore, along with applicable interest as per the CGST Act. The demand arises from audit findings covering financial years 2018-19 to 2022-23.
Key Highlights:
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The GST demand and penalty are linked to payments made to the Brihanmumbai Municipal Corporation (BMC) and other statutory authorities, which the company argues are not maintainable under GST regulations.
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Suraj Estate Developers has obtained a legal opinion and does not foresee any major financial or operational impact due to the demand.
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The company intends to file an appeal against the order with the Commissioner (Appeals - II) to challenge the demand.
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The order is based on audit findings over a four-year period and does not reflect any new operational or compliance violations beyond the audit period.
Source: Company Disclosure to the Stock Exchange