Lupin Limited announced that the Company has received an order from the Additional Commissioner of State Tax (Appeal), Central Division, Patna, imposing tax, interest and penalty INR 874,467 under applicable provisions of the CGST Act, 2017, SGST Act, 2017 and IGST Act, 2017. Date of receipt of Order: March 20, 2024, 2024. Details of alleged violation: The Order has been passed by the Bihar GST Authority on the contention that the Company's depot in Bihar has claimed inadmissible Input Tax Credit ('ITC') during the period April 2018 to March 2019 in GSTR-3B in comparison to the ITC reflected in GSTR-2A.

It has been also held that ITC is required to be reversed on return of expired goods from its customers. As the Company has not reversed the ITC on return of expired goods, the same is recoverable., Additionally, interest and penalty has also been confirmed in respect of the aforesaid demand. Financial/operations impact on Company, whether material or not., Based on the assessment of facts and prevailing law, the Company is of the view that the demand including penalty levied is arbitrary and unjustified.

The Company will file necessary appeal with the appellate authority in this regard., There is no material impact on the Company's financials or operations due to the said order.