Voltas Limited has secured another significant reduction in its GST tax demand, with the latest order dated December 12, 2025, reducing the demand from ₹31.77 crores to ₹20.14 lakhs. This development follows the company's detailed submissions and explanations provided to the Commissioner CGST Central Excise, Commissionerate Indore, Madhya Pradesh.

Latest GST Order Details

The Commissioner has issued a favorable order based on the company's comprehensive submissions regarding the show cause notice received in July 2025. The notice had alleged wrongful availment and utilization of inadmissible/irregular input tax credit and non-payment of GST for the financial years from 2018-19 to 2020-21.

Show Cause Notice Background

The company had initially received a show cause notice from the Office of the Commissioner C.G.S.T. Central Excise, Commissionerate Indore, Madhya Pradesh, as intimated on July 1, 2025. The notice questioned why the tax amount of ₹31.77 crores should not be demanded along with interest and penalty for alleged irregularities spanning three financial years.

Company's Response Strategy

Voltas provided detailed submissions and explanations to address the allegations raised in the show cause notice. The substantial reduction in the tax demand from ₹31.77 crores to ₹20.14 lakhs demonstrates the effectiveness of the company's response and suggests that the majority of the original allegations were successfully contested.

Next Steps and Evaluation

The company has stated that it is currently evaluating the order dated December 12, 2025, and will take appropriate course of action. This indicates that Voltas is reviewing all aspects of the revised demand, including the applicable interest and penalty components, before determining its final response strategy.

Regulatory Compliance

This update has been disclosed pursuant to Regulation 30 of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. The significant reduction in the GST demand represents a positive development for the company, substantially minimizing the potential financial impact from the original allegations covering the three-year period from FY2018-19 to FY2020-21.

Voltas Limited , a leading air conditioning and engineering solutions provider, has seen a significant increase in stake by Life Insurance Corporation of India (LIC) through a series of market purchases. This move highlights LIC's continued interest in the consumer durables sector.

Key Highlights

• Acquisition Period: September 25 to November 21, 2025
• Shares Acquired: 67,44,990
• Stake Increase: From 5.050% to 7.089%
• Percentage Increase: 2.038% of Voltas' total share capital

Detailed Breakdown

Regulatory Implications

The substantial increase in LIC's shareholding has triggered disclosure requirements under the Securities and Exchange Board of India (SEBI) regulations. These regulations mandate the disclosure of any acquisition that results in holding more than 5% of a company's shares.

Market Impact

This significant stake increase by LIC, one of India's largest institutional investors, may be viewed as a vote of confidence in Voltas' future prospects. It could potentially influence market sentiment towards the company and the broader consumer durables sector.

About Voltas Limited

Voltas Limited, a Tata Group company, is India's leading air conditioning brand and an engineering solutions provider. The company operates in various segments, including unitary cooling products for comfort and commercial use, electro-mechanical projects, and engineering services.

While the reasons behind LIC's increased investment in Voltas are not explicitly stated, such moves are typically based on the investor's assessment of the company's growth potential, market position, and overall financial health. Investors and market analysts will likely watch closely to see if this increased stake leads to any changes in Voltas' strategic direction or performance in the coming months.