Sterling Tools Receives Demand Notice for ₹78.71 Lakhs from GST Office

Disclaimer This is an AI-assisted live blog with updates sourced from multiple news outlets and agencies Disclaimer

Sterling Tools Limited has received a Demand-cum-Show Cause Notice from the Assistant Commissioner of Commercial Taxes, Local Goods & Services Tax Office, Kolar, Karnataka, regarding alleged excess availment of IGST Input Tax Credit. The notice, dated September 10, 2025, proposes a demand of ₹78.71 Lakhs, including applicable interest and penalties.

The Demand-cum-Show Cause Notice was issued by the Office of the Assistant Commissioner of Commercial Taxes, Local Goods & Services Tax Office, Kolar, Karnataka, pertaining to an alleged excess availment of IGST Input Tax Credit as compared to the figures reflected in GSTR-2B.

The notice proposes a demand of ₹78,70,864 towards alleged excess availment of GST Input Tax Credit, which includes applicable interest and penalties.

Sterling Tools believes it has strong legal and factual grounds to address the demand and will take all necessary actions to present and defend its case before the relevant authorities. The company does not anticipate any material financial impact at this stage.

The company is preparing to file an appropriate response to the notice within the prescribed timelines.

The company firmly believes that it maintains strong legal and factual grounds in this matter and will be taking all necessary actions to present and defend its case before the relevant authorities and address the demand, there is no material financial impact at this stage.