UltraTech Cement Receives Rs 390 Crore GST Demand from Tax Authorities

Mumbai- UltraTech Cement Limited has received a tax demand order from the Joint Commissioner of Central Goods and Services Tax (CGST) and Central Excise, Patna, seeking payment of alleged dues amounting to nearly Rs 390 crore.

In addition to the tax demand, the country’s largest cement manufacturer has also been asked to pay a penalty of an equivalent amount and interest of around Rs 28 lakh, according to a regulatory filing by the company.

UltraTech stated that the demand pertains to alleged short payment of Goods and Services Tax (GST), improper availment of input tax credit, and other related issues. The order covers a period spanning five financial years, from FY 2018-19 to FY 2022-23.

“The Company has received an Order from the Joint Commissioner, Central Goods and Services Tax & Central Excise, Patna,” UltraTech said in its filing, adding that the order upholds a tax liability of Rs 3,90,95,58,194 along with applicable interest, additional interest of Rs 27,68,289, and a penalty of Rs 3,90,95,58,194.

The combined tax demand, penalty, and interest amount together represent a significant sum, equivalent to nearly two-thirds of the company’s consolidated profit of Rs 1,232 crore reported for the second quarter ended September 2025. During the same quarter, UltraTech posted a robust financial performance, with revenue rising 20.3 per cent year-on-year to Rs 19,607 crore.

Despite the magnitude of the demand, UltraTech maintained that it does not expect any adverse impact on its operations or financial position. The company said it is currently reviewing the order and is considering all available legal remedies.

“The Company is reviewing the Order, considering all legal options, and accordingly would be contesting the demand, and does not expect the said Order to have any operational or financial impact,” the filing stated.

UltraTech Cement is scheduled to announce its financial results for the third quarter on January 24, 2026.

Meanwhile, the company’s shares have remained largely stable so far this year. On the most recent trading day, UltraTech Cement stock closed at Rs 11,497, up Rs 36 or 0.31 per cent.

With inputs from IANS