Coromandel International faces significant tax demand of over ₹5.9 crore

Coromandel International Limited announced on December 4, 2025, that it has received a demand order from the Assistant Commissioner (ST)(FAC) Harbour Assessment Circle, Chennai. The order seeks recovery of ₹3,40,20,775 in tax, ₹2,22,13,236 in interest, and ₹34,02,077 in penalties. These amounts are imposed under section 73 of the TNGST Act 2017/CGST Act 2017, read with section 20 of IGST Act 2017.

The demand stems from alleged excess availment of Input Tax Credit (ITC). Reasons cited include import data (Bill of entries) not moving from the ICEGATE portal to the GSTN Portal, involving ₹3.2 crores GST Input Tax Credit. Additionally, ITC totaling ₹18 lakhs is associated with suppliers whose registrations have been cancelled, or who filed NIL GST returns and failed to file GST returns.

Coromandel International believes it has a strong case to defend on merits and intends to appeal the order. While the financial impact could extend to the full demanded amount if upheld, the company stated that there is no material impact on financials, operations, or other activities of the Corporation.