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ABFRL Faces ₹13.77 Crore Tax Demand
18 Dec
Summary
- Aditya Birla Fashion received a tax demand of ₹13.77 crore.
- The demand stems from alleged input tax credit mismatches.
- ABFRL plans to appeal the tax order, citing it as untenable.
Aditya Birla Fashion and Retail Ltd (ABFRL) is facing a significant tax demand of ₹13.77 crore. The order, issued by the Deputy Commissioner of State Tax in Mumbai on December 16, 2025, was received by the company on the same day. This demand encompasses ₹7.15 crore in tax, ₹5.89 crore in interest, and ₹71.18 lakh in penalty.
The core of the dispute involves claims of input tax credit, specifically citing an alleged mismatch between GSTR-1 and GSTR-9 forms and discrepancies in import input tax credit reconciliation with GSTR-2A. Despite the substantial amount, ABFRL asserts that the order will have no adverse effect on its financial standing or operational activities.
The company firmly believes the tax demand is not tenable under the current legal framework. Consequently, ABFRL has announced its intention to file a formal appeal against the order with the appropriate Appellate Authority. The company also noted that the delay in disclosing this order was unintentional.
