Bajaj Electricals Limited has disclosed receipt of an adverse Order in Appeal dated May 15, 2026, issued by the Joint Commissioner, Secunderabad, Telangana, in connection with a Goods and Services Tax (GST) demand case. The disclosure was made to stock exchanges on May 16, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Background of the GST Demand

The matter originates from an order dated August 31, 2024, passed under Section 73 of the CGST/TGST Act, 2017, by the Office of the Deputy Commissioner, Secunderabad STU-1, Telangana. The GST Authority alleged that the company had claimed excess input tax credit (ITC) during FY 2019-20, resulting in a total demand being imposed on the company. The key financial details of the demand are as follows:

Adverse Appellate Order Received

Bajaj Electricals had previously filed an appeal against the original order. However, the Joint Commissioner, Secunderabad, Telangana, acting as the Appeal Authority, dismissed the appeal vide an Order in Appeal dated May 15, 2026, received by the company on May 15, 2026, at 03:06 p.m. The Appeal Authority did not consider the submissions made by the company and upheld the original demand.

Company's Response and Legal Remedies

Following the dismissal of its appeal, the management has stated it is evaluating appropriate legal remedies available under law. The options being considered include:

• Filing an appeal before the appropriate appellate tribunal
• Initiating writ proceedings before the Hon'ble High Court against the Appeal Order

Financial and Operational Impact

The company has clarified that the financial impact of the Appeal Order, if it materialises, would be limited to the extent of the demand raised and penalty levied thereunder. Bajaj Electricals further stated that there is no impact on the operational, financial, or other activities of the company on account of this order or assessment. The disclosure was signed by Prashant Dalvi, Chief Compliance Officer & Company Secretary, on May 16, 2026.

Bajaj Electricals has received a favorable appellate order dated May 11, 2026, from the Office of the Appellate Joint Commissioner of State Tax, Secunderabad, Hyderabad, Telangana, resulting in the complete dropping of an aggregate GST demand of Rs. 22.89 lakh. The order was received by the company on May 11, 2026, at 12:57 p.m., and was disclosed under Regulation 30 of the SEBI Listing Regulations.

Background of the GST Dispute

The matter traces back to an assessment order dated August 31, 2024, issued by the Office of the Deputy Commissioner, Secunderabad STU-1, Telangana, under Section 73 of the CGST/TGST Act, 2017. The original order had raised an aggregate demand against Bajaj Electricals on account of alleged excess Input Tax Credit (ITC) claimed during FY 2019-20. The company had disclosed the receipt of this assessment order to the exchanges on August 31, 2024.

Key Details of the Appellate Order

The following table summarizes the key parameters of the original demand and the appellate outcome:

Company's Submissions Accepted

The Appellate Authority accepted the submissions made by Bajaj Electricals and passed the order in favor of the company, thereby dropping the aggregate demand of Rs. 22.89 lakh, inclusive of the general penalty of Rs. 2.08 lakh. The company has stated that there is no impact on its operational, financial, or other activities on account of this appellate order.

The disclosure was made by Prashant Dalvi, Chief Compliance Officer & Company Secretary (ICSI Membership No.: A51129), in accordance with Regulation 30 read with the applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.