Delta Corp Limited and its subsidiaries have received GST demand orders totaling ₹116.43 crore from the Additional Commissioner, Central GST, Goa Commissionerate. The orders, dated September 25, 2026, cover the period from July 2017 to March 2022.
The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The demand arises from differential tax payments related to actionable claims and mixed supplies in casino operations. The company stated it is evaluating the orders and may file appeals within prescribed timelines.
Breakdown of GST Demand
The total demand comprises differential GST, interest, and penalties across Delta Corp and its subsidiaries, Hightstreet Cruises and Entertainment Private Limited (HCEPL) and Delta Pleasure Cruise Company Private Limited (DPCCPL).
| Component | Entity | Amount (₹) |
| Differential GST (Actionable Claims) | Delta Corp | 47.36 crore |
| HCEPL | 29.04 crore | |
| DPCCPL | 2.92 crore | |
| Subtotal | Total | 79.32 crore |
| Differential GST (Mixed Supply) | Delta Corp | 27.57 crore |
| HCEPL | 8.57 crore | |
| DPCCPL | 96.58 lakh | |
| Subtotal | Total | 37.11 crore |
| Penalty (Mixed Supply) | Delta Corp | 27.57 crore |
| HCEPL | 8.57 crore | |
| DPCCPL | 96.58 lakh | |
| Subtotal | Total | 37.11 crore |
The Authority levied interest at 18% per annum on the differential GST amounts for actionable claims from October 1, 2023, until payment. For mixed supply demands, interest is levied at 18% per annum from the due date until payment.
Valuation and Tax Rates Applied
For actionable claims, the GST differential was calculated based on the value of chips sold, following Supreme Court directions. The tax rate applied was 18% for July 1, 2017, to January 24, 2018, and 28% for January 25, 2018, to March 31, 2022, under Rule 31C of the CGST Rules, 2017.
Regarding mixed supply, the Authority determined that casino entry packages constitute a mixed supply taxable at 28%. A penalty equivalent to the differential GST demand for mixed supply was imposed under Section 74 of the CGST Act.
Pending Proceedings in Sikkim
Delta Corp noted that proceedings related to notices for its Sikkim casino for the same period (July 2017 to March 2022) remain pending. The company will make further disclosures upon completion of those proceedings.
What the Numbers Show
The penalty imposed equals the entire differential GST demand for mixed supplies (₹37.11 crore), effectively doubling the liability for this specific component. This indicates a strict interpretation of tax evasion provisions under Section 74, where the penalty mirrors the tax shortfall. The total financial exposure of ₹116.43 crore represents a significant one-time charge against past earnings, though the final impact depends on the outcome of potential appeals.
Source from: https://scanx.trade/stock-market-news/companies/delta-corp-receives-116-43-crore-gst-demand-fy18-fy22-period/51978513
