VST Industries' tax demand of ₹2.49 crore dropped

VST Industries Limited announced on September 17, 2025, that a demand of ₹2,49,57,830 related to alleged excess Input Tax Credit (ITC) claims in Chhattisgarh has been dropped. This follows a show cause notice received on January 31, 2024, under Section 73 of the CGST Act / The Goods and Service Tax Act, 2017.

The joint commissioner of state tax, Raipur Division-1, Chhattisgarh, passed an order on September 16, 2025, dropping the previously raised demand. This decision was communicated to VST Industries on the same day.

The company confirmed that, with the demand now fully withdrawn, there is no financial impact on VST Industries. This resolution concludes the litigation update initially intimated on February 1, 2024.