Delta Manufacturing Limited has informed the Exchange about General Updates
DELTAMAGNT · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
Delta Manufacturing Limited has received a favorable order from the Tamil Nadu GST Assistant Commissioner, Selaiyur Assessment Circle, dropping a show cause notice that was issued under Section 74 of the TNGST/CGST Act for FY 2018-19. The notice, related to GST demand on zero-rated supplies along with penalty and interest aggregating to approximately ₹3.45 crore, was originally issued in the name of MMG India Private Limited (an erstwhile wholly owned subsidiary that merged with the company via NCLT order in December 2019). The company had replied to the notice and the tax department has now withdrawn the proceedings entirely. The company has stated there is no material financial or operational impact from this development.
This is a positive outcome for shareholders as a potential tax liability of around ₹3.45 crore has been completely withdrawn, removing a contingent liability overhang on the company. The stock is unlikely to see significant movement given the company's statement of no material impact.