Max Estates Subsidiary Receives GST Show Cause Notice for ₹5.90 Crore
REGULATORY
◆ Monitor Closely
MEDIUM RISK
📅 Filed on BSE: 28 Jul 2026, 09:08 PM IST · BSE ID: 31e2edc6-f785-491c-9551-6bc9bc12e53c
View Original BSE Filing (PDF)
💡
In Simple Terms
A Max Estates subsidiary got a notice from tax authorities for ₹5.90 crore related to past GST credits.
🤖 AI Summary
- Max Estates subsidiary received a ₹5,90,00,108 GST show cause notice.
- Notice issued by Delhi Dept. of Trade and Taxes for FY 2022-23.
- Allegations concern excess or ineligible input tax credit.
- Company is reviewing and will file a reply; no final order passed.
🔢 Key Numbers — exact figures from BSE filing, not rounded
Proposed demand (Tax, Interest, Penalty)
₹5,90,00,108
Proposed Tax
₹3,30,26,162
Proposed Interest
₹2,26,71,330
Proposed Penalty
₹33,02,616
Financial Year of Dispute
FY 2022-23
🏢 How This Affects the Company
The notice proposes a total demand of ₹5,90,00,108, comprising tax, interest, and penalty. The final financial impact is contingent on the adjudication proceedings' outcome.
There is no impact on the operations or other activities of the company or subsidiary at this stage.
This notice introduces a tax litigation risk. The company is reviewing the matter and will take necessary actions, but the final outcome remains uncertain.
👥 What This Means For Shareholders
✅
Action Required
No immediate action is required from shareholders. Monitor company disclosures for further developments.
👤
Who Is Affected
All shareholders are potentially affected by any future financial implications arising from the tax demand if it is upheld.
🔍
Management Signal
Management is proactively engaging with the tax authorities and reviewing the matter to defend its position according to law.
For information only. Not investment advice. ForgeUp is not SEBI-registered.
👁 Watch List — track these upcoming events
Company's formal reply to the show cause notice.
Outcome of the adjudication proceedings by tax authorities.
Disclosure of any material developments impacting financial position.
MEDIUM RISK
Potential for significant financial demand (₹5.90 Cr) if tax authorities uphold allegations.
💡 Investor Takeaway
Max Estates subsidiary Pharmax Corporation Limited received a GST show cause notice proposing ₹5,90,00,108 for FY 2022-23 concerning alleged excess input tax credit; no final order passed.
⚖️ Strengths & Concerns
⚠️ Concerns
- Show cause notice proposes ₹5,90,00,108 demand for tax, interest, and penalty for FY 2022-23.
❓ Frequently Asked Questions
What is the total amount proposed in the GST show cause notice received by Max Estates' subsidiary?
The show cause notice proposes a demand aggregating to ₹5,90,00,108, comprising tax, interest, and penalty.
Which subsidiary of Max Estates received the GST show cause notice?
Pharmax Corporation Limited, a subsidiary of Max Estates Limited, has received the show cause notice.
For which financial year is the GST show cause notice issued?
The show cause notice from the Department of Trade and Taxes, Government of NCT of Delhi, is for FY 2022-23.
What is the primary reason for the proposed GST demand?
The proposed demand is primarily in relation to alleged excess or ineligible input tax credit for FY 2022-23.
Has a final demand or order been passed by the tax authorities?
No, the matter is currently at the show cause notice stage and no final demand or order has been passed.
Questions based on this BSE filing only. For information purposes.