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BPCL Faces Massive Rs 1,816 Crore Excise Demand
23 Feb
Summary
- BPCL received Rs 1,816.65 crore excise demand order.
- Demand includes duty, interest, and a penalty.
- BPCL will appeal the order before CESTAT.
Bharat Petroleum Corporation Limited (BPCL) has been ordered to pay Rs 1,816.65 crore in excise duty by the Commissioner of Central Tax and Central Excise, Kochi. This significant demand includes Rs 476.94 crore in duty, Rs 1,339.70 crore in applicable interest, and a Rs 95,000 penalty.
The order stems from 19 Show Cause Notices concerning transaction value under Central Excise law, which have now been adjudicated. BPCL has confirmed the duty demand of Rs 476.94 crore, specifically relating to the period before the merger of Kochi Refineries Limited, from September 2004 to August 2006.
BPCL intends to review the excise demand order thoroughly. Following its analysis, the company plans to file an appeal against the decision before the Customs, Excise and Service Tax Appellate Tribunal (CESTAT).
