Fortis Healthcare Limited has informed stock exchanges about a significant GST order received by its wholly owned subsidiary, Fortis Health Management Limited, demanding ₹597.93 crores including interest and penalty for the financial year 2023-24.

GST Order Details

The State Tax Officer (ST)- Group IX, Chengalpattu Intelligence Division, Tamil Nadu issued the GST order on January 02, 2026. The order follows a show cause notice that was initially issued for ₹570.00 crores, including a penalty of ₹285.00 crores.

Nature of Dispute

The GST authority has denied the healthcare service exemption claimed by the company. According to the disclosure, the GST exemption of healthcare service claimed by Fortis Health Management Limited has been rejected, leading to the demand confirmation.

Company's Response

Fortis Healthcare has indicated that after submission of response by Fortis Health Management Limited, the GST Authority passed the order confirming the higher demand amount. The show cause notice in relation to the balance amount has been dropped by the authorities.

Financial Impact Assessment

The company has assessed that the demand is not maintainable and is in the process of filing an appeal against the order. Management has stated that it does not envisage any relevant impact on the financials, operations, or other activities of the company.

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company provided detailed annexures covering the litigation details and penalty information as required under the regulatory framework.

The disclosure was signed by Satyendra Chauhan, Company Secretary & Compliance Officer, and submitted to both NSE and BSE on January 02, 2026.

Fortis Malar Hospitals has received an Income Tax intimation order from the Centralized Processing Centre (CPC) of the Income Tax Department, Bengaluru, demanding ₹20.82 lakhs for Assessment Year 2024-25. The company disclosed this regulatory development to BSE Limited under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Income Tax Order Details

The Income Tax order relates to the processing of the company's Return of Income for Assessment Year 2024-25. The CPC has issued an intimation order under Section 143(1) of the Income Tax Act, 1961, which has resulted in a tax demand being raised against the company.

Company's Response

Fortis Malar Hospitals has indicated that it is currently evaluating all available options in response to the Income Tax order. The company specifically mentioned that it is considering filing an appeal against the order issued by the tax authorities.

The disclosure was made on December 24, 2023, at 16:45 hours (IST), in compliance with the regulatory requirements under SEBI Master Circular number SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2022.

Regulatory Compliance

The company has fulfilled its disclosure obligations by informing BSE Limited about this development through its Company Secretary and Compliance Officer, Vinti Verma. This disclosure ensures transparency with stakeholders regarding material events that could impact the company's financial position.

The intimation order represents a routine processing action by the Income Tax Department's centralized system, where returns filed by taxpayers are processed and any discrepancies or additional demands are communicated through such orders.