Torrent Power Faces Rs 189 Crore Tax Demand and Penalty; Plans to Contest Order
Torrent Power Faces Rs 189 Crore Tax Demand and Penalty; Plans to Contest Order
Torrent Power Limited has recently disclosed the receipt of a huge GST demand order from the UP tax authority. The total amount involved is Rs 189.42 crore, including tax and penalty. The demand order is related to the period from April 2019 to September 2024.
Background of the Case
The order, issued under Sections 74 and 74A of the CGST Act 2017, read with Sections 74 and 74A of the UPGST Act 2017 and Section 20 of the IGST Act 2017, relates to GST on rent on immovable properties and on incidental and ancillary services. Based on this, the department has raised a demand of Rs 94.71 crore and imposed an equal penalty of Rs 94.71 crore.
Key Detail of Order
| Particulars | Details |
| Issuing Authority | Additional Commissioner, Agra, Lucknow, Uttar Pradesh |
| Date of receipt | March 27, 2026 |
| Type of Communication | Demand Order |
| Relevant Period | From April 2019 to September 2024 |
| CGST | Rs 47,35,55,749 |
| SGST | Rs 47,35,55,749 |
| Total Tax (CGST+SGST) | Rs 94,71,11,498 |
| Penalty | Rs 94,71,11,498 |
| Total Demand | Rs 189.42 crore |
Company’s Response
Torrent Power has decided to challenge the order by filing an appeal before the appropriate authority.
Financial Impact
Torrent Power has clarified that the demand order does not affect the financial, operation or other activities of the company.
Company’s Disclosure Compliance
The above information was disclosed by Torrent Power Limited on March 28, 2026, to both stock exchanges under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.