Archive · 28 Nov 2025
GST Authorities Impose Penalties on Companies
Two big companies, Reliance Industries and Torrent Pharmaceuticals, got fines from the tax department in Ahmedabad.
Reliance was fined ₹56.44 crore for not following tax rules correctly, and Torrent was fined ₹41.34 crore for giving wrong refunds on goods they exported.
Both companies say the fines are unfair and plan to fight them in court.
They don't think the fines will hurt their businesses much.
The tax department says the companies didn't follow the rules, but the companies say they did everything right and hope to win their cases.
Reliance Industries received a penalty of ₹56.44 crore from the Joint Commissioner of CGST in Ahmedabad.
Torrent Pharmaceuticals Ltd received a penalty of ₹41.34 crore for alleged erroneous refunds on export of goods.
Both companies plan to appeal against the penalties, stating the orders were issued without considering their classifications and assessments.
The penalties are under Section 74 of the Central and Gujarat Goods and Services Tax Acts for Reliance and under similar provisions for Torrent.
Both companies do not expect the penalties to have a material financial impact on their operations.
- Who
- Reliance Industries and Torrent Pharmaceuticals Ltd
- What
- Received penalty orders from GST authorities
- When
- Orders dated November 25 and November 26, 2025
- Where
- Ahmedabad
- Why
- For alleged tax violations, including erroneous refunds and treating input tax credit as blocked credit
GST Authorities
Companies
Penalty Imposition
GST Authorities
GST authorities imposed penalties on Reliance Industries and Torrent Pharmaceuticals for alleged tax violations.
Companies
Both companies plan to appeal against the penalties, stating the orders were issued without considering their classifications and assessments.
- Company 1
- Reliance Industries
- Penalty Amount 1
- ₹56.44 crore
- Issuing Authority 1
- Joint Commissioner of CGST, Ahmedabad
- Date of Order 1
- November 25, 2025
- Date Received 1
- November 27, 2025 at 11:04 am
- Section Under Which Penalty Imposed 1
- Section 74 of CGST and Gujarat GST Acts
- Company's Response 1
- Plans to appeal against the decision
- Company 2
- Torrent Pharmaceuticals Ltd
- Penalty Amount 2
- ₹41.34 crore
- Issuing Authority 2
- Joint Commissioner, Common Adjudicating Authority, Central GST, Ahmedabad South Commissionerate
- Date of Order 2
- November 26, 2025
- Company's Response 2
- Plans to appeal and expects a favorable outcome
Sources
Mukesh Ambani-Led Reliance Industries Receives Penalty Order Of ₹56.44 Crore From The Joint Commissioner Of CGST In Ahmedabad
Mukesh Ambani -led Reliance Industries gets Rs 56.44 crore GST penalty, plans to challenge order
GST authority imposes ₹41 cr penalty on Torrent Pharmaceuticals
