Hindalco Industries Receives Rs 53 Crore Demand Order From Odisha Tax Authority

Hindalco Industries Ltd. on Thursday said that it has received a demand order of nearly Rs 53 crore from the Odisha tax authority.

According to the company’s exchange filing, it has received an order against fines and penalties under the Goods and Service Tax Regulations from the commissioner of Central Goods and Services Tax in Rourkela, Odisha.

The aluminium and copper manufacturer added in the filing that it has received orders-in-original, levying total taxes and penalties of Rs 52,66,58,508.

However, it added that it is yet to receive a physical copy of the order and has received it on Dec. 24, 2024, via e-mail.

In its clarification, the company added that while it received the order via email after business hours on Tuesday, the employee who received it was unable to access the official email account until Thursday.

It added, “Accordingly, the intimation is being made as soon as the order was brought to our attention.”

The company said that it “prefers filing an appeal against the matter" and has strong cases on merit and law.

The company’s management “does not reasonably expect” the orders to have any material impact on the financials, operations, or other activities of the company.

The tax authority has raised demand for GST payable under reverse charge on water charges paid to the state government.

For the quarter ended Sept. 30, 2024, Hindalco Industries’ net profit rose 78% year-on-year to Rs 3,909 crore.

Its revenue growth was driven by an uptick in revenue across all its major segments—Novelis, copper, and aluminium upstream and downstream. The company's aluminium downstream and upstream segments saw the highest revenue uptick at 20% and 15%.

Shares of Hindalco Industries Ltd. closed 0.08% higher at Rs 628.90 apiece on the BSE, compared to a flattish end for the benchmark Sensex.