Max Estates Receives Rs 2.59 Crore GST Show Cause Notice From UP Tax Department Over FY23 Return and Reconciliation Issues:

Uttar Pradesh State Tax Department has issued a show cause notice to Max Estates Limited proposing a GST demand of Rs 2.59 crore for FY22-23.

The notice was issued by the office of Deputy Commissioner, State Tax, Sector-3, Gautam Buddha Nagar under the Central GST Act, Uttar Pradesh GST Act and the Integrated GST Act. The issue relates to Max Ventures and Industries Limited which was merged with Max Estates effective July 31, 2023 with April 1, 2022 being the appointed date.

According to the company, the proposed demand includes Rs 1.35 crore in tax, Rs 97.25 lakh in interest and Rs 26.65 lakh in penalty.

The notice mainly relates to differences and reconciliation issues in GST returns for FY23. These include differences in the annual return and reconciliation statement, input tax credit-related reconciliations, credit note details and other GST-related matters.

Max Estates said the matter is still at the show cause notice stage, and no final demand or order has been issued by the tax authorities.

The company is reviewing the notice and will file its response and take necessary action under the applicable laws. The final financial impact, if any, will depend on the outcome of the proceedings.

The company also said that there is no impact on its operations or other activities at this stage and that it will keep shareholders informed about any material developments.