GST Department Issues Rs.116.72 Crore Notice to LG Electronics India:

LG Electronics India Limited has informed the stock exchanges that it received a GST show cause notice demanding Rs.116.72 crore, including an equivalent penalty, over alleged excess Input Tax Credit (ITC) claims for FY 2021-22.

The notice dated May 26, 2026 was issued by the Joint Commissioner of GST, Corporate Circle-2, Greater Noida, under Section 74 of the CGST Act read with the corresponding provisions of the Uttar Pradesh GST Act and IGST Act.

As per the company’s exchange filing, the GST Department alleged that the company claimed excess ITC after comparing the figures auto-populated on the GSTN portal in Table 8A of GSTR-9 with the ITC availed in GSTR-3B returns.

The tax department has demanded Rs.58.36 crore towards alleged excess ITC along with an equal amount of penalty, taking the total demand to Rs.116.72 crore.

“The Show Cause Notice demanding a tax amounting to Rs. 116.72 Crore including Penalty (Principal Tax Rs. 58.36 Crore + Penalty Rs. 58.36 Crore)”

LG Electronics stated that the matter pertains to a reconciliation issue and maintained that the ITC claimed by the company is within the framework of GST provisions. The company further clarified that the notice has no impact on its financials or operations at this stage.

“There is no impact on financials, operations or other impact due to this show cause notice as this is reconciliation issue and the Input Tax Credit claimed by Company is within the ambit of GST Provision.”

The company also informed the exchanges that it will file a detailed reply to the show cause notice within one month along with supporting evidence to establish that no excess ITC was claimed.