IndiGo to Challenge Rs 3.5 Lakh Penalties Over ITC Issue



Quick Summary
IndiGo, a prominent Indian airline, has announced its intention to contest two penalty orders amounting to Rs 3,50,299. These penalties stem from issues related to its input tax credit (ITC) claims under the Goods and Services Tax (GST) regime. The airline plans to appeal these decisions, with specific cases in Odisha and Kerala involving disallowed ITC.

IndiGo, one of India's leading airlines, announced on Wednesday that it plans to challenge two penalty orders totalling Rs 3,50,299, which have been imposed regarding its ITC claims under the GST regime.

IndiGo Challenges Rs 3.5 Lakh GST Penalties

Odisha Penalty Details

In Odisha, a penalty of Rs 1,77,046 has been levied on Indigo concerning its GST claims for the fiscal year 2017-18. The appellate authority has rejected the airline's plea, upholding the demand related to the disallowed input tax credit. According to InterGlobe Aviation, the parent company of Indigo, they are determined to contest this decision and plan to take the matter to an appellate tribunal.

Kerala Penalty Case

In Kerala, IndiGo faces another penalty of Rs 1,73,253, where the input tax credit claimed by the company was rejected by the tax officer. This order, which demands payment from the airline, has also been appealed by Indigo to the concerned appellate authority. The airline is actively pursuing the case, seeking to overturn the ruling.

IndiGo's  actions reflect its commitment to challenging what it views as unwarranted penalties related to its input tax credit claims. The airline remains firm in its stance to ensure that its claims are validated through the appropriate legal channels.

FAQ :

IndiGo is challenging two penalty orders totalling Rs 3,50,299 that were imposed regarding its input tax credit (ITC) claims under the GST regime.

The total penalty amount IndiGo is challenging is Rs 3,50,299.

Penalties have been imposed in Odisha and Kerala.

In Odisha, a penalty of Rs 1,77,046 was levied concerning IndiGo's GST claims for the fiscal year 2017-18, related to disallowed input tax credit.

In Kerala, IndiGo faces a penalty of Rs 1,73,253 because the input tax credit claimed by the company was rejected by the tax officer.

IndiGo plans to challenge these decisions and take the matter to an appellate tribunal or concerned appellate authority, seeking to overturn the rulings.




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Finance news reporter covering taxation, GST, income tax, business compliance, and economy updates. I simplify complex financial topics into easy-to-understand articles for professionals, taxpayers, and business owners on leading finance and tax platforms.

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