Bajaj Electricals Limited faces a confirmed financial liability after an appellate authority dismissed its appeal against a tax demand, potentially impacting its finances by ₹10.95 crore. The adverse appellate order, dated June 8, 2026, was issued by the Office of the Commissioner (Appeals), Customs, CGST & Central Excise, Lucknow. This order upholds the original demand raised by the GST Authority regarding disallowances of GST Input Tax Credit for FY 2020-21.

The appellate authority did not consider the submissions and reconciliation presented by Bajaj Electricals Limited . Consequently, the appeal was dismissed, and the demand raised by the Office of the Joint Commissioner, CGST & Central Excise, Lucknow, was confirmed. The total gross demand amounts to ₹10.95 crore, which includes a specific penalty component of ₹0.99 crore.

Financial and Legal Implications

The management stated that the financial impact of the order would be limited to the extent of the confirmed demand and penalty if it materializes. The company clarified that there is no impact on its operational, financial, or other activities resulting from this assessment or the subsequent appellate order.

Next Steps

Bajaj Electricals is currently evaluating the appropriate legal remedies available under the law. The company intends to file an appeal before the appropriate appellate tribunal and may initiate writ proceedings before the Hon'ble High Court to challenge the appellate order. This development follows the company's initial disclosure on February 28, 2025, regarding the receipt of the final assessment order.

Bajaj Electricals Limited has decided to enter the Cables category under its Lighting Solutions segment to capitalize on growing demand in the industry. The company plans to commence operations in this new business line shortly as part of its strategic initiatives to expand and diversify operations for sustainable growth.

The decision was disclosed to the stock exchanges under Regulation 30 of the SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015. The company stated that the move aligns with its policy on determining materiality for disclosure of events or information.

Investment for the new Cables business will be evaluated and determined based on market opportunities, the anticipated scale of operations, and other relevant internal and external factors. The company has not yet specified the exact quantum of investment required for the expansion.

Bajaj Electricals will update the stock exchanges on further material developments as required under the applicable regulatory framework. The disclosure was submitted by Prashant Dalvi, Chief Compliance Officer & Company Secretary.

Key Details