🟢 At a Glance:
Madhav Copper Ltd (NSE: MCL) just got slapped with a ₹31.09 crore tax demand by the Gujarat State GST department for allegedly wrongly availing input tax credit in FY22. The company says there’s “no material impact” on its operations.
Right. Because a ₹31 Cr tax penalty is just… Tuesday things.
📜 What Happened?
- 🧾 Authority: Assistant Commissioner, State Tax, Gujarat
- 📅 Order Issued: May 30, 2025
- 📥 Received By Company: Same day — no delays here
- 💸 Amount: ₹31,08,63,584 (tax + interest + penalty)
- 📚 Section Invoked: 73(5)/74(5) of the GST Act, 2017 — the classic “Oops, you shouldn’t have taken that input credit” rulebook.
🧂 What Is Section 73(5) / 74(5) Exactly?
- Section 73(5): Applicable when tax wasn’t paid or was short-paid without fraud.
- Section 74(5): Same issue with fraud or willful
