V-Guard Secures GST Relief: Rs 20.7 Crore Demand Dropped by Tax Authority

V-Guard Industries Ltd announced that it has received a GST order from the Assistant Commissioner, Central GST, Gangtok Division, Sikkim, dated October 28, 2025, which drops the tax and interest demand of Rs 20.7 crore raised earlier this year.  

The order pertains to the company’s units claiming budgetary support benefits, which authorities had previously questioned for the financial years 2017-18 to 2024-25. Following V-Guard’s detailed reply and documentation, the tax authority accepted the company’s justification and dropped the entire demand, resulting in no financial liability.  

This development comes as a major regulatory relief and reinforces V-Guard’s compliance stance in its indirect taxation matters.  

Major Takeaways:

• The Rs 20.7 crore demand of tax and interest has been completely dropped.  
• The decision pertains to FY 2017-18 through FY 2024-25.  
• The issue involved alleged excess budgetary support claims by V-Guard’s units.  
• The order was issued by the Assistant Commissioner, Central GST, Gangtok Division, Sikkim.  
• The ruling has no adverse financial impact on the company.  

Sources: BSE Corporate Filing, NSE Announcement, V-Guard Industries Stock Exchange Disclosure