Equitas SFB receives GST demand order of Rs 14.32 lakh
Equitas Small Finance Bank (ESFB) has received a tax demand notice by the Delhi GST Department, totaling Rs 14.32 lakh.
The notice, issued under Section 73 of the CGST/DGST Act, 2017, relates to the fiscal year 2019-20 and highlights issues around the bank's input tax credit (ITC) claims.
The total sum of Rs 14,32,343 consists of the following components: Tax: Rs 7,32,365, Interest: Rs 6,08,926 and Penalty Rs 91,052
The primary issues flagged in the notice include the under-declaration of ineligible input tax credit and claims of ITC from canceled dealers, return defaulters, and tax non-payers.
Despite the significant tax demand, ESFB has stated that there is no material impact on its financial or operational activities. The bank is currently assessing whether to pursue this course of action.
