Hero MotoCorp, India’s leading two-wheeler manufacturer, has been served a demand notice by the Delhi GST authorities, totaling ₹17.64 crore. This demand pertains to the disallowance of input tax credit for the financial year 2019-20.
The notice issued by the Office of the GST Officer, Government of NCT of Delhi, breaks down the tax demand as ₹9.39 crore, with an additional ₹7.32 crore in interest and ₹93.87 lakh as penalty.
Hero MotoCorp, in its regulatory filing, clarified that the disallowed input tax credit was rightfully claimed as per GST provisions but was rejected due to non-compliance by the supplier. The company emphasized that the issue arose due to the supplier’s non-compliance, which it asserts is not attributable to Hero MotoCorp.
The company stated its intention to take necessary actions, including filing an appeal against the order.
