DCM Shriram faces ₹85.80 lakh GST demand order, plans appeal

DCM Shriram Ltd. announced on December 23, 2025, that it has been issued a GST demand order for ₹85.80 lakhs, along with applicable interest and an equivalent penalty, totaling ₹171.60 lakhs. The order from the Assistant Commissioner, Central Goods and Services Tax, Kota, Rajasthan, pertains to the disallowance of Input Tax Credit (ITC) claimed on cargo handling and other related services for coal purchases.

The demand covers the financial periods from FY 2018–19 to FY 2022-23. The tax authority alleges non-receipt of services, leading to the disallowance. DCM Shriram plans to explore appellate remedies to contest the demand, stating that the services were received and facts substantiated through proper documentation.

The company assesses that there will be no material financial or operational impact, beyond the direct tax demand of ₹85.80 lakhs, applicable interest, and penalty.