The makers of popular Marlboro and Four Square Cigarette Godfrey Phillips India Ltd hit with Rs 166 crore tax demand order from the Office of the Commissioner of CGST and Central Excise, Belapur, Navi Mumbai. The tax demand order pertains to an alleged undervaluation of the supply of goods, leading to a short payment of taxes under GST regulations.
The demand order includes a confirmed GST demand of Rs 70.34 crore, a GST Compensation Cess of Rs 12.56 crore and a penalty of Re 82.90 crore under the CGST Act along with relevant provisions of the Maharashtra GST Act and the GST (Compensation) Act.
Godfrey Phillips has stated that the order does not have a material impact on its financials, operations, or other activities and the company is currently evaluating all options, including filing an appeal against the order.
The flagship company of Modi Enterprises – KK Modi Group, is one of the largest FMCG companies with a strong portfolio of cigarettes, tobacco and confectionery products.
