GST Department Issues Rs. 2,000 Crore Show Cause Notice to New India Assurance:

GST Department Issues Rs. 2,000 Crore Show Cause Notice to New India Assurance

The largest nationalised general insurer, the New India Assurance Company Ltd, has disclosed that it received a show cause notice. The company has informed the stock exchanges, Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) under Regulation 30 of SEBI to Stock Exchange, that it has received a show cause notice from the office of the Additional Commissioner, Mumbai-South, and Maharashtra state, asking the company why the tax demand of Rs 22,98,06,74,25 should not be levied by the authority. The Tax Department has issued this notice based on the observations that the company has taken the wrong tax credit or not paid the full GST, due to fraud, suppression of facts, or misstatements. The company did not submit the required information returns under Section 150 of the CGST Act in time. However, the company believes that it has a strong case on merit and is planning to file a detailed reply to this notice. It further informed that there is no impact on the company's finances and operations due to the show cause notice.