Life Insurance Corporation (LIC) has received a GST tax demand order for Rs 605.59 crore from Maharashtra state tax authorities, the company said in an exchange filing on Thursday.
The deputy commissioner of state tax, Mumbai, has issued a demand of Rs 605.59 crore for FY20, including GST, interest, and penalties. The order cites “wrong availment & short reversal of ITC & interest on late payments.” LIC stated that the order is appealable before the joint commissioner of state tax (appeals), Mumbai.
On Wednesday, the state-run insurer informed exchanges that the deputy commissioner, DGSTO-5, Bengaluru, Karnataka, has demanded Rs 3.81 crore for FY20 towards GST, interest, and penalties for alleged “short declaration of outward liability & ITC claimed on Blocked Credit u/s 17(5).”
LIC noted that this order is appealable before the commissioner of commercial tax (appeals), Karnataka.
The company said that the orders have no material impact on its financials or operations.