Patanjali Foods receives GST demand of ₹1,353 crore for FY23 in Chennai

Patanjali Foods said on Wednesday, May 26, it has received a demand notice for ₹1,352.9 crore for FY23. The demand comprises ₹676.46 crore each towards SGST and CGST, along with a penalty of ₹135.29 crore and interest at 18% on CGST and SGST.The company said it received the show-cause notice from the office of the Assistant Commissioner (ST), Royapuram (C) Assessment Circle, North Division, Chennai, demanding ₹1,352.9 crore for FY23 over alleged discrepancies in turnover reported by the company and TDS cuts.

It is in the process of submitting an appropriate response in consultation with its tax advisors and believes it has adequate grounds to substantiate its position before the relevant authority within the prescribed timelines.
The company does not expect any financial liability arising from the notice, though the exact implications cannot be determined until completion of the proceedings.Baba Ramdev-helmed Patanjali Foods Ltd had reported a net profit of ₹364.2 crore for the third quarter, down 26% from ₹491.2 crore in the year-ago period.
Revenue for the quarter rose 16.5% to ₹10,483 crore, compared with ₹8,997 crore in the corresponding period last year.ALSO READ | Swiggy’s move to amend articles of association fails shareholder test

Patanjali Foods shares ended lower on Wednesday, May 27, falling 2.52% to close at ₹454 on the NSE.

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