Archive · 25 Sep 2025
Zydus Lifesciences Faces ₹3.35 Crore Tax Liability
Zydus Lifesciences had a tax issue involving about 39 crore rupees.
The government decided to drop most of the demand.
However, they still owe about 3.35 crore rupees.
The issue was over how they handled tax credits for services, specifically sales commissions paid to other companies.
Zydus is not happy with the decision and will ask for a review.
The company doesn't expect this to have much effect on their business.
The order was communicated on September 24 and the share price decreased by 1.57% on September 25.
Zydus Lifesciences faced a tax demand from CGST authorities.
₹35.90 crore of the initial ₹39.25 crore demand was dropped.
A liability of ₹3.35 crore was confirmed, with interest and penalty.
The issue concerned CENVAT credit on sales commission paid to foreign entities.
The company plans to appeal the decision.
- Who
- Zydus Lifesciences
- What
- Faced a tax demand, with most dropped, but a liability confirmed.
- When
- September 2025 (order date)
- Where
- Ahmedabad
- Why
- Dispute over CENVAT credit on sales commission paid to foreign entities.
Zydus Lifesciences
CGST Authorities
Tax Liability
Zydus Lifesciences
Disputes the tax demand of ₹3.35 crore and plans to appeal.
CGST Authorities
Confirmed the ₹3.35 crore liability.
- Company
- Zydus Lifesciences
- Tax Demand Initially
- ₹39.25 crore
- Demand Dropped
- ₹35.90 crore
- Liability Confirmed
- ₹3.35 crore
- Issue
- CENVAT credit on input services
- Ruling Authority
- Commissioner of CGST, Ahmedabad
- Appeal Status
- Filed
