Image Source: A2Z Taxcorp LLP
Voltas Limited’s GST demand has been slashed from ₹31.77 crores to ₹0.14 lakh by the Indore Commissionerate after detailed submissions. The company is evaluating the order and will take further action, marking a positive resolution to its compliance issue.
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Voltas Limited has received a major relief in its ongoing GST dispute with the Indore Commissionerate. The tax demand, initially pegged at ₹31.77 crores for alleged wrongful availment and utilization of input tax credit, has been dramatically reduced to just ₹0.14 lakh following the company’s detailed submissions and explanations.
Notable Updates
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The Indore Commissionerate issued a Show Cause Notice in July 2025, alleging wrongful GST credit usage and non-payment for FY 2018-19 to 2020-21.
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The original demand was ₹31.77 crores, including interest and penalty.
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After reviewing Voltas’s submissions, the Commissionerate’s order dated December 12, 2025, reduced the demand to ₹0.14 lakh (with applicable interest and penalty).
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Voltas is currently evaluating the order and will decide on next steps accordingly.
Major Takeaways
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The reduction in tax demand signals a significant win for Voltas in its compliance challenge.
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The company’s proactive engagement and detailed explanations have led to a favorable outcome.
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This development is likely to have a positive impact on Voltas’s financial outlook and investor sentiment.
Source: BSE Corporate Announcement
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