LIC Receives Rs 606 Crore Demand Order From Maharashtra Tax Authority

Life Insurance Corp. has received a goods and services tax demand order for Rs 606 crore from the Maharashtra tax authority on Aug. 29.

According to an exchange filing on Thursday, the life insurance behemoth received a GST notice for Rs 294.43 crore along with interest and penalty of Rs 281.70 crore and Rs 29.44 crore, respectively.

The insurance provider received the tax notice due to an incorrect claim and partial reversal of input tax credit along with interest on late payments, it said.

The filing added that there will be no material impact on financials, operations or other activities of the company.

Shares of LIC closed 1.39% lower at Rs 1,069.65 apiece, compared to a 0.43% rise in the benchmark BSE Sensex.