Life Insurance Corporation of India has disclosed that it has received a tax demand notice from state tax authorities in Himachal Pradesh concerning GST-related dues linked to the financial year 2019-20.
According to the disclosure, the Deputy Commissioner of State Taxes and Excise, Parwanoo, in Himachal Pradesh issued a demand order covering GST, interest, and penalty. The order relates to alleged non-reversal of input tax credit on an exempted supply. The demand includes GST of Rs 17,90,956 along with interest amounting to Rs 27,22,254 and an equivalent penalty of Rs 17,90,956.
LIC confirmed that it received the communication from the tax authority on March 9, 2026. The demand has been issued under the applicable provisions of the Goods and Services Tax framework. The corporation stated that the order is appealable before the Commissioner (Appeals) in Shimla, Himachal Pradesh.
The order relates to the alleged non-reversal of input tax credit associated with exempted supplies. Such cases typically arise when input tax credit adjustments are required for transactions classified under exempt categories. LIC disclosed the matter under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as part of mandatory reporting to stock exchanges.
The corporation stated that the financial impact is limited to the amount specified in the demand order covering GST, interest, and penalty. It also clarified that the matter does not have any material impact on the company’s financial position, operations, or other activities. The disclosure has also been made available on the company’s website as part of its regulatory compliance requirements.
