Announced Tue, 2 Jun · 15:02 IST

GST Notice

Regulatory & Legal View source PDF

Price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve 14 horizons · vs prior close
-5.1%1-day move
₹790.05
prior close
₹780.00
base price
In-mkt
timing
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-3.0-2.7-2.7-5.1-3.7-3.8-2.5-4.4-3.6+2.3+0.3
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AI summary

Lakshmi Electrical Control Systems received two GST Show Cause Notices from the Office of the Assistant Commissioner, GST, both dated 7th May 2026 but retrieved from the company's spam folder and reported only on 2nd June 2026. The first notice covers FY 2022-23 and demands Rs. 1.57 crore (including tax of Rs. 1.41 crore, interest, cess, and penalty). The second notice covers FY 2023-24 and demands Rs. 3.93 crore (tax of Rs. 3.57 crore and penalty of Rs. 36 lakh), taking the total demand to roughly Rs. 5.5 crore. The issues raised include alleged short payment of tax under Reverse Charge Mechanism (RCM), lack of proof for exempted/nil-rated/Non-GST supplies, ITC reversals, and missing documentary proof for credit notes. The company is in the process of filing replies and clarifications with explanations and documents to substantiate its position.

Likely market impact

The company has stated there is no material impact on its financials, operations, or other activities. For shareholders, this is a routine tax dispute of modest size relative to the company's scale, but the outcome of the reply process and any subsequent adjudication remains a watchpoint.