Refex Industries Limited announced that the company is in receipt of a Demand order dated April 29, 2024 under section 73 of MGST/CGST Act, 2017 for the Fiscal Year 2018-19 wherein GST Input Tax Credit of INR 14,433,841 has been disallowed. Consequently, a total demand of INR 35,746,813 is raised by the Authority inclusive of the Tax, interest & penalty. The Company has received an order with a tax demand amounting to INR 35,746,813 from Maharashtra State Tax authorities for the Financial Year 2018-2019, relating to the alleged ineligible Input Tax Credit claimed by the Company.

The demand is mainly on account of Input GST credits from the parties GSTIN of whom were suspended. The Company believes that the demands are not maintainable and hence would prefer an appeal against the said Order within the prescribed time period. The Management is of the view that the amount demanded along-with the interest and penalty neither have any material impact on the financials of the Company nor have any impact on operational or other activities of the Company.

Date of receipt: April 29, 2024.