Panacea Biotec Arm Slapped with GST Show Cause Notice Over Rs 4.06 Crore Alleged ITC Claim

The company disclosed that the notice, dated July 23, 2026, has been issued under Section 73 of the Delhi Goods and Services Tax/Central Goods and Services Tax Act and Rules, 2017. The communication was disclosed under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

According to the details provided by the company, the alleged tax liability of ₹4.06 crore comprises tax of ₹2.27 crore, interest of ₹1.56 crore, and penalty of ₹0.23 crore. The notice pertains to the alleged excess claim of Input Tax Credit in PBPL's annual GST return for FY 2022-23.

Panacea Biotec stated that the show cause notice has been issued by the Assistant Commissioner, GST, Delhi, and that the matter is presently at the show cause notice stage. The company clarified that no penalty, restriction or sanction has been imposed so far, as the proceedings are yet to be adjudicated.

The company further informed that Panacea Biotec Pharma Limited is in the process of collating relevant information and preparing a detailed response to the notice. PBPL stated that it does not foresee any adverse impact on its financial, operational or other business activities arising from the show cause notice.

The company also disclosed that the tax authority has alleged an excess claim of Input Tax Credit (ITC). It added that PBPL is preparing its reply to the notice in accordance with the applicable legal provisions and will take all necessary steps in response to the allegations.

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