Escorts Kubota Limited disclosed that the Assistant Commissioner of GST, Chennai (South), has confirmed a tax demand of ₹2.44 crore along with interest and penalties for the financial year 2023. The order, issued on August 21, 2026, stems from discrepancies in input tax credit reconciliation.

The company intends to file an appeal before the appellate authority against the order passed under Section 73 of the GST Act, 2017. The disclosure was made in compliance with Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

Order Details

The regulatory order breaks down the financial liability as follows:

The total monetary impact includes the principal tax demand plus accrued interest and a fixed penalty. The issue specifically relates to input tax credit reconciliation for FY23.

What the Numbers Show

The interest component of ₹1.71 crore constitutes approximately 70% of the total tax demand of ₹2.44 crore. This indicates that the financial burden is heavily weighted toward time-value costs rather than just the disputed tax amount or the relatively smaller penalty of ₹24.44 lakh.

Escorts Kubota has scheduled investor meetings with fund houses on August 26 and 27, 2026. The company will hold discussions with Nuvama Institutional Equities and HSBC Securities.

The firm disclosed the schedule in compliance with Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company stated that no unpublished price sensitive information is proposed to be shared during these interactions.

Meeting Schedule

The firm outlined the specific details for each engagement below.

Vicky Chauhan, Company Secretary, confirmed the arrangements. The Investor & Earning Presentation remains available on the company website as per Regulation 46 of the SEBI Listing Regulations.