Indigo fined ₹458 Crore by CGST for GST demand, interest, and penalty

InterGlobe Aviation Limited (IndiGo) has received an assessment order from the Additional Commissioner of CGST, Delhi South Commissionerate, under Section 74 of the Central Goods and Service Tax Act, ...

InterGlobe Aviation Limited (IndiGo) has received an assessment order from the Additional Commissioner of CGST, Delhi South Commissionerate, under Section 74 of the Central Goods and Service Tax Act, 2017, for the financial years 2018-19 to 2022-23. The order imposes a GST penalty of ₹458,26,16,980 (approximately ₹458.26 crore) along with interest. The alleged contravention pertains to the GST department's disallowance of Input Tax Credit and demand on compensation received from a foreign supplier. IndiGo strongly believes the order is erroneous and not in accordance with the law, based on advice from external tax advisors. The company intends to contest the order and pursue appropriate legal remedies. IndiGo is already in an appeal process before the Commissioner (Appeals) for a similar matter concerning FY 2017-18. The company stated that as it will contest the order, it does not anticipate any significant impact on its financials, operations, or other activities.

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Why is InterGlobe Aviation Limited in the news today?

InterGlobe Aviation Limited (INDIGO) is in the news due to the company has been levied a significant penalty and interest by the gst department, which is a negative development.

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Indigo fined ₹458 Crore by CGST for GST demand, interest, and penalty

December 30, 2025, 11:09 AM

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InterGlobe Aviation Limited (IndiGo) has received an assessment order from the Additional Commissioner of CGST, Delhi South Commissionerate, under Section 74 of the Central Goods and Service Tax Act, 2017, for the financial years 2018-19 to 2022-23.

The order imposes a GST penalty of ₹458,26,16,980 (approximately ₹458.26 crore) along with interest. The alleged contravention pertains to the GST department's disallowance of Input Tax Credit and demand on compensation received from a foreign supplier.

IndiGo strongly believes the order is erroneous and not in accordance with the law, based on advice from external tax advisors. The company intends to contest the order and pursue appropriate legal remedies. IndiGo is already in an appeal process before the Commissioner (Appeals) for a similar matter concerning FY 2017-18.

The company stated that as it will contest the order, it does not anticipate any significant impact on its financials, operations, or other activities.

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