InterGlobe Aviation Faces ₹113 Cr Penalty for GST Discrepancies

InterGlobe Aviation Faces ₹113 Cr Penalty for GST Discrepancies

InterGlobe Aviation Limited has been slapped with a penalty of ₹113,02,36,194/- on February 4, 2025, as per the company's exchange filing. The penalty comes after the Department imposed Goods and Services Tax (GST) on services provided to offshore recipients, ruling that these services do not qualify as exports. Additionally, the company has been denied Input Tax Credit (ITC) for certain services during the financial year 2017-18.

In its regulatory filing, InterGlobe Aviation stated, "The Company is in the process of contesting this Order before the appropriate appellate authority."

Furthermore, the company has also been penalized ₹2,84,54,640/- due to discrepancies in the ITC claims for the period spanning FY 2017-18 to FY 2019-20.

InterGlobe Aviation intends to challenge these penalties before the relevant authority.