LIC Challenges Rs 530 Crore GST Demand Order with Maharashtra Authority
Life Insurance Corporation of India (LIC) has filed an appeal against a GST demand order of Rs 530 crore, inclusive of interest and penalty, with the GST Appellate Authority in Maharashtra.
Key Details of the Appeal:
- Order Breakdown:
Tax Demand: Rs 530 crore
Interest: Rs 257.12 crore
Penalty: Rs 24.77 crore
- Financial Impact:
LIC stated that the order pertains to fiscal 2020 and clarified that it will not have any material impact on its financials or operations. - Other GST Appeals:
Andhra Pradesh: LIC has appealed against a Rs 40.6 crore demand order, including Rs 21.7 crore as penalty and Rs 6 lakh as interest.
Karnataka: Filed an appeal against a demand of Rs 1.8 crore, with additional liabilities of Rs 1.79 crore in interest and Rs 18.3 lakh in penalties.
LIC Q2 Performance Highlights:
Net Profit: Rs 7,729 crore, a decline of 3.7% YoY compared to Rs 8,030 crore in Q2 last year.
Net Premium Income: Increased to Rs 1.2 lakh crore, up 12% YoY from Rs 1.1 lakh crore.
Gross NPA Ratio: Improved to 1.72%, compared to 1.95% in the previous quarter.
LIC’s proactive legal measures and robust financial performance underscore its resilience despite facing tax challenges.
