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Aurobindo Pharma Faces Rs 4.60 Crore GST Setback as Appellate Authority Upholds ITC Demand
M
Moneycontrol•30-09-2026, 09:52
Aurobindo Pharma Faces Rs 4.60 Crore GST Setback as Appellate Authority Upholds ITC Demand
- •Aurobindo Pharma received a Rs 4.60 crore GST setback after the Telangana GST appellate authority upheld a demand for reversal of excess input tax credit (ITC) claim.
- •The order, issued by the Appellate Joint Commissioner (ST), Malkajgiri Division, Hyderabad, pertains to the 2020-21 financial year under the Central GST Act and Telangana GST Act.
- •The demand includes an alleged excess ITC of Rs 2,56,44,999, interest of Rs 1,78,19,409, and a penalty of Rs 25,64,500, totaling Rs 4,60,28,908.
- •The ruling upholds an earlier decision from February 28, 2025, which cited an alleged excess claim of ITC in GSTR 3B compared to GSTR 2A for FY 2020-21.
- •Aurobindo Pharma plans to appeal the decision before the GST Appellate Tribunal, stating the order will not materially impact its operations or financial performance.
Key Questions Answered
The Telangana GST appellate authority upheld a total disputed demand of Rs 4,60,28,908 against Aurobindo Pharma for the 2020-21 financial year, which includes tax, interest, and penalties.
The demand was issued due to an alleged excess claim of input tax credit (ITC) reported in GSTR 3B compared to GSTR 2A for the 2020-21 financial year.
After receiving the communication on September 28, Aurobindo Pharma announced its plan to appeal against the decision before the GST Appellate Tribunal.
