Maruti Suzuki India Ltd (MSIL) on Friday said its regulatory filings that its wholly-owned subsidiary, Suzuki Motor Gujarat (SMG), has received an appellate order from the Gujarat Central Goods and Services Tax (CGST) Authority upholding a tax demand of Rs. 86.1 crore along with additional interest and a penalty of Rs. 8.6 crore.
The order pertains to the period between April 2020 and August 2022 and concerns tax liabilities under the reverse charge mechanism for certain services. SMG had already deposited the tax amount prior to the issuance of the original show cause notice.
The CGST Commissioner (Appeals) has also allowed SMG to partially withdraw its appeal related to an earlier period – July, 2017 to March 2020 – to facilitate an amnesty application under Section 128A of the CGST Act.
MSIL said that SMG will be filing a further appeal against the appellate order before the Tribunal. However, the company clarified that the development will not have any major financial or operational impact on the listed entity.
This comes at a time when MSIL continue to consolidate its market leadership, posting robust July 2025 sales, supported by strong domestic demanded and improved export performance.
Source: ET Auto
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