Britannia Faces Rs. 25 Crore GST Demand Over Product Classification and ITC claim:

Britannia Faces Rs. 25 Crore GST Demand Over Product Classification and ITC claim Britannia Industries Limited, one of the major food industry in India, has ben slapped with a demand notice of more than Rs. 25 crore from the Goods and Services Tax (GST) department, after a disagreement about how one of its products is classified and its claims for tax credits. Britannia Industries has received a tax demand of Rs. 25.41 crore from the GST department, along with an equal amount in penalties and interest. This is due to a disagreement over how one of its products was classified and some tax credit claims it made between July 2017 and March 2023. The order was issued by the Additional Commissioner of Central GST and Excise in Kolkata North, as the company shared in a filing on Thursday. Earlier, on August 3, 2024, Britannia received a show cause notice from the GST Intelligence Department (DGGI). The notice said there were issues in how the company classified one of its products and claimed tax credits on certain purchases. Britannia has said it plans to challenge the order through legal means and will take all steps available under GST law. The company stated that it will appeal the order. Britannia Industries, founded in 1892, is a leading Indian food company known for biscuits, bread, cakes, and dairy products. Its products are sold across India and in over 80 countries.