GST Authority Appeals Relief Granted to Kalpataru Subsidiary in Rs 1.35 Crore Transitional Credit Dispute :

Kalpataru Limited has disclosed that the GST Authority has filed an appeal before the Goods and Services Tax Appellate Tribunal against an earlier appellate order in favour of its wholly-owned subsidiary, Abacus Real Estate Private Limited.

The matter relates to a transitional credit demand of Rs. 1,35,66,011 for the period from July 1, 2017, to March 31, 2018. The demand was raised by the GST Department, Hyderabad GST Commissionerate, through an order dated May 27, 2024. The demand also included applicable interest and an equivalent amount of penalty.

Abacus had challenged the GST demand before the Principal Commissioner (Appeals-I), Hyderabad GST Commissionerate. The Appellate Authority allowed the subsidiary’s appeal through an Order-in-Appeal dated January 29, 2026, providing relief against the demand.

The GST Authority has now challenged this appellate order before the GST Appellate Tribunal in relation to the tax demand of Rs. 1,35,66,011, along with applicable interest and an equivalent penalty. Abacus will defend the matter before the Tribunal and, according to Kalpataru, is hopeful of a favourable outcome.

The company stated that the filing of the appeal before the GST Appellate Tribunal does not have any material financial impact on the company’s operations. The company received information from Abacus regarding the filing of the appeal on September 16, 2026, at 12:47 p.m.

Kalpataru Limited has made the aforementioned disclosure vide an Intimation dated September 17, 2026, addressed to the National Stock Exchange of India Limited (NSE) and Bombay Stock Exchange Limited (BSE), in pursuance of Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“SEBI Listing Regulations”).