Tech Mahindra Limited — Important, 12-12-2024: Disclosure of material issue

The company has received a penalty of ₹1,18,411 from the Joint Commissioner in Bengaluru related to a GST audit for the financial year 2017-18 concerning its Karnataka Non-SEZ location. The penalty is under Section 107(11) of the KGST Act, 2017, primarily for the alleged availment of excess or ineligible Input Tax Credit. Tech Mahindra considers applying under the GST Amnesty Scheme since the amount is deemed immaterial and is not expected to have a significant financial impact on operations. Investors should monitor this situation, but given the minor financial implications, the outlook remains stable.