OUTCOME OF LITIGATIONS / DISPUTES.
Awaiting price reaction for this filing.
The Ramco Cements Limited informed stock exchanges that a long-pending tax dispute over disallowance of CENVAT credit on outward freight has been resolved in the company's favour. The matter was remanded back to the Additional Commissioner of GST and Central Excise, Madurai by CESTAT in July and September 2024. The original authority then dropped further proceedings on 31st March 2025, settling the issue to the extent of Rs. 1.64 Crores. Similar pending disputes with other statutory authorities, earlier valued at Rs. 9.64 Crores, now stand reduced to Rs. 8.00 Crores.
This is a positive development for shareholders as a tax liability of Rs. 1.64 Crores has been cleared and overall pending exposure on similar matters has reduced. The financial impact is small relative to the company's size, so the stock price reaction is likely to be muted.