Shree Cement Limited has received GST demand orders from tax authorities in Chhattisgarh and Karnataka, with the company disclosing the development to stock exchanges on December 31, 2025. The cement manufacturer received both orders on December 30, 2025, relating to alleged Input Tax Credit violations.

GST Demand Orders Details

The company received two separate demand orders from different tax authorities across two states. The details of both orders are outlined below:

Company's Response and Financial Impact

Shree Cement has indicated that both orders will have no major financial impact on the company's operations. The management has disagreed with the contentions raised by the tax authorities in both cases. The company plans to challenge these orders through the appropriate legal channels.

Appeal Process

The company has outlined its appeal strategy for both orders:

• Chhattisgarh Case: Appeal under Section 107 of Chhattisgarh GST Act to be filed by March 29, 2026
• Karnataka Case: Appeal under Section 107 of Karnataka GST Act to be filed by March 29, 2026
• Timeline: Both appeals must be filed within 3 months from the date of communication of the respective orders

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulation requires listed companies to inform stock exchanges about material events that could impact the company's operations or financial position. The company secretary S.S. Khandelwal signed the disclosure document, ensuring compliance with regulatory requirements.

The cement manufacturer's proactive disclosure demonstrates its commitment to transparency with stakeholders regarding regulatory matters, even as it prepares to contest the tax authorities' demands through the established appeal process.

Shree Cement Limited has received a GST demand order from tax authorities in Karnataka, as disclosed in a regulatory filing on December 30, 2025. The cement manufacturer received the order from the Assistant Commissioner, Central Tax & Central Excise, Gulbarga Division, Karnataka on the same date.

GST Demand Details

The demand order issued in Form GST DRC-07 confirms a tax demand along with penalties and interest. The financial implications of the order are detailed below:

Nature of Alleged Violation

The GST demand order pertains to alleged non-payment of GST by the company. The Assistant Commissioner has issued the demand under the provisions of the GST law, requiring the company to pay the specified amount along with applicable interest and penalty.

Company's Response and Next Steps

Shree Cement has indicated its disagreement with the contentions raised in the demand order. The company has outlined its planned course of action:

Financial Impact Assessment

According to the company's disclosure, the GST demand order is expected to have no major financial impact on Shree Cement's operations. The company has assessed that while the demand amount is significant in absolute terms, it does not materially affect the overall financial position or operational activities of the entity.

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, ensuring transparency with stakeholders regarding regulatory actions that could potentially impact the company.