Kalpataru Projects faces ₹7.11 crore tax, penalty demand from GST authority

Kalpataru Projects International Limited (KPIL) announced on December 5, 2025, that it has received an order from the Central Excise & GST Authority. The order demands tax, interest, and a penalty of ₹7.11 crores. This pertains to the erstwhile JMC Projects (India) Limited (now amalgamated with KPIL) for the financial year 2014-15, based on alleged grounds of wrong availment of Cenvat credit.

KPIL intends to appeal the order, stating it has a strong case to defend the matter before the Appellate Authority. The company asserts that the order was issued without considering its submitted reply and documentary evidence.

The company believes that while a penalty of ₹7.11 crores has been levied, it does not anticipate a significant impact on its financial, operational, or other activities.