Amara Raja Energy & Mobility faces CGST/PGST act penalties

Amara Raja Energy & Mobility (BSE:ARE&M) announced it received an order on June 16, 2025, from the Joint Commissioner of State Tax (Appeals), Patiala, Punjab, related to actions under Section 73 of the CGST/PGST Act, 2017. The order upholds a previous ruling and addresses alleged violations including excess ITC claims, interest on short tax payments, GST on supply/exchange of warranty goods, and non-levy of GST on disposal of business assets. Penalties total INR 70,000, with additional tax and interest liabilities detailed. These tax liabilities include: INR 1,80,981 for excess ITC, INR 2,14,60,329 for supply/exchange of warranty goods, and INR 49,28,272 for non levy of GST on permanent disposal of Business assets. The company states it is assessing the order and considering its options, including appealing the decision. Amara Raja Energy & Mobility contends that the order is appealable and does not expect a material impact on its financial or operational activities.