JK Paper Limited — Important, 28-02-2025: General Updates

JK Paper Ltd. has received orders from GST Authorities totaling ₹12.26 crore, attributed to an alleged short payment of tax and excess availment of Input Tax Credit (ITC) for the financial year 2020-21. The primary demand of ₹11.97 crore was raised by the Assistant Commissioner of State Tax in Delhi, which includes ₹6.47 crore in GST demand, ₹4.84 crore in interest, and ₹0.65 crore in penalties. Additionally, another order from Chennai resulted in a demand of ₹0.29 crore related to excess ITC claims.

The company views these demands as unjustified and plans to take appropriate actions within the time frame permitted under the GST Act. Importantly, there is no immediate material impact on the company's income, operations, or other activities due to these orders, suggesting the resilience of the business in facing these challenges. Stakeholders are encouraged to monitor the situation closely as the company navigates this tax scrutiny.