Voltas Limited has received an Order from the Office of the Superintendent, CGST & Central Excise, Range I, Division IV, Indore demanding tax of INR 1,000,000 plus interest thereon and also penalty of INR 100,000 under Section 73 of the Integrated Goods and Services Tax Act, 2017, Central Goods and Services Tax Act, 2017 and MP Goods and Services Tax Act, 2017 for the financial year 2018-19 for disallowance of input tax credit due to returns filed by the suppliers after cut-off date or cancellation of GSTIN of suppliers with retrospective effect. The Company is in the process of filing an appeal against the said Order. There is no material impact on the financials, operations or other activities of the Company due to this penalty.

By an Order dated 20th April, 2024 (received on 7th May, 2024) passed under Section 73 of the Integrated Goods and Services Tax Act, 2017, Central Goods and Services Tax Act, 2017 and M.P. Goods and Services Tax Act, 2017 for financial year 2018-19, tax demand of INR 1,030,295/- has been raised for disallowance of input tax credit (ITC) due to return filed by suppliers after cut-off date, i.e. after 20th October, 2019/cancellation of GSTN of suppliers with retrospective effect, plus interest thereon and also penalty of INR 103,030. The Company is in the process of filing an appeal against the said Order. Penalty of INR 103,030 has been imposed due to disallowance of ITC availed.