Announced Sat, 20 Jun · 16:33 IST

KRN Heat Exchanger faces about Rs 5.54 crore GST demand from Rajasthan tax department

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AI summary

The Rajasthan State Tax department has ordered KRN Heat Exchanger to pay about Rs 4.95 crore in tax, Rs 9.76 lakh interest, and Rs 49.47 lakh penalty, totaling about Rs 5.54 crore. The demand relates to alleged ineligible Input Tax Credit for FY 2025-26. The company received the order on June 19, 2026 and plans to challenge it, saying the ITC was properly claimed. Management says no material financial impact beyond the stated amounts.

Likely market impact

Short term overhang from tax dispute. Total exposure about Rs 5.54 crore. Company plans to appeal. Watch for legal outcome.