V-Guard Industries Receives GST Show Cause Notice Over Alleged Excess ITC Claim

V-Guard Industries Receives GST Show Cause Notice Over Alleged Excess ITC Claim

V-Guard Industries Limited, a prominent Indian manufacturer specialising in electrical products, recently issued a disclosure to BSE Ltd. and NSE Ltd. regarding the receipt of a Show Cause Notice.

Backstory of the case

The company stated that it has received a Show Cause Notice from the Joint Commissioner of CGST under Section 74(1) of the CGST Act, 2017, in relation to the alleged availment of excess Input Tax Credit (ITC). The show cause notice proposes the levy of a penalty under Section 74(1) and interest under Section 50(3). However, it does not mention any penalty or interest.

Key details

Particular	Details
Issuing Authority	Joint Commissioner, CGST, Audit Commissionerate, Dehradun
Financial Years	2020-21 to 2023-24
Date of receipt	April 14, 2026
Expected Financial Implication	Short payment of GST communicated: INR 17,75,91,197

Company’s Further Step

The company believes it has strong grounds to contest the observations mentioned in the notice and is currently evaluating the show-cause notice. The company will take appropriate steps.

Company’s disclosure

The company made the above disclosure under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (SEBI Listing Regulations).