The Jammu & Kashmir GST authority has calculated the pending dues of the LIC saying the corporation has paid taxes at 12% instead of 18 % on certain invoices
Mumbai:
Life Insurance behemoth Life Insurance Corporation(LIC) on Wednesday said it has received a demand order of around Rs 37,000 on Monday for collection of pending GST dues along with interest and penalty for Jammu & Kashmir(J&K) state.
The Jammu & Kashmir GST authority has calculated the pending dues of the LIC saying the corporation has paid taxes at 12 per cent instead of 18 per cent on certain invoices.
The said order is appealable before the Commissioner (Appeals), J&K, said LIC.
The GST notice on LIC is for demand order cum penalty notice for F.Y. 2019-20 and consists of Rs 10,462/- as GST dues, Rs 20,000 penalty and Rs 6,382 as interest.
There is no material impact on LIC financials, said the corporation in a regulatory filing.
The corporation earlier has already received two other demand notices from tax authorities. It had received an income tax penalty notice of over Rs 84 crore. It said that the notices pertaining to assessment years 2012-13, 2018-19 and 2019-20.
The insurer has been penalised over Rs 12.61 crore for 2012-13, over Rs 33.82 crore for 2018-19, and Rs 37.58 crore for 2019-20, amounting to over Rs 84 crore.
The penalties were pertaining to income from capital provided by the government that was not considered as taxable income, and deduction under Section 80G that were claimed while computing income under Section 44, read with rule 2 of First Schedule to the Income tax Act, 1961.
The Bihar Additional Commissioner State Tax had also served LIC with an order under the GST rules, demanding a sum of Rs 290 crore in tax (GST), inclusive of interest and penalties.