Patanjali Foods Limited has informed the Exchange regarding Clarification on disclosure under Regulation 30 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Patanjali Foods received a Show Cause Notice from Tamil Nadu GST authorities alleging the company under-reported taxable turnover by Rs. 7,516.25 crores for April 2022 to February 2023. The GST department proposes a tax demand of Rs. 1,352.92 crores plus 18% interest and 10% penalty. The company strongly disputes these allegations, stating the discrepancy arises from comparing incorrect figures on the GST portal. The company claims actual taxable turnover was Rs. 2,017.27 crores (not Rs. 8,140.63 crores alleged) and TDS returns reflected only Rs. 109.48 crores (not Rs. 15,656.88 crores stated). The company had previously submitted detailed reconciliations but a change in issuing officer led to the new notice without considering prior submissions. The company is filing a detailed reply and expects the proceedings to be dropped.