One more setback! The Showcause Notice for Patanjali Foods’ GST Dues

The GST intelligence agency is investigating Patanjali Foods, which is headed by yoga guru Ramdev. This is a major blow to the corporation. A show-cause letter has been sent to them, requesting an explanation for why they should not be reimbursed for input tax credits totaling Rs 27.46 crore.

How is the Notice Made Public?
The notification is delivered by the Directorate General of GST Intelligence, Chandigarh Zonal Unit, according to the regulatory filing made by Patanjali Foods. The information was revealed by the business in a 26 April 26.

Business Reaction
In reply to the notice, the business said, “A show cause notice is received by the company… requiring the company, its officers and authorised signatories to show cause as to why input tax credit amounting to Rs 27,46,14,343 should not be recovered (along with interest), and why penalty should not be imposed…”

The Reference Sections: What Are They?

The notice makes reference to Section 20 of the Integrated Goods and Services Tax (IGST) Act, 2017 as well as Section 74 and other pertinent sections of the Central Goods and Services Act, 2017 and the Uttarakhand State Goods and Services Act, 2017.

What Is Patanjali Foods Going To Do Next?
Patanjali Foods stressed that they would take the required actions to present their position to the appropriate authorities in answer to this query. They said, “… expected financial implications cannot be determined till the completion of the proceedings.”

How Can I Buy Ayurvedic Patanjali Foods?
Furthermore, Patanjali Foods recently revealed that they were taking a hard look at an offer to buy its promoter group, Patanjali Ayurved,’s non-food company.
The board of the firm has examined Patanjali Ayurved Ltd’s first offer to sell Patanjali Foods its non-food business venture.

Patanjali Food Was Founded When?
Patanjali Foods Ltd., formerly Ruchi Soya Industries Ltd., is a prominent participant in the FMCG industry. It was founded in 1986.

What Kind Of Goods Does Patanjali Foods Produce?
Under names like Patanjali, Ruchi Gold, and Nutrela, among others, they are involved in the edible oils, food, FMCG, and wind power generating sectors.

Purchasing Ruchi Soya
Through the insolvency process, Patanjali Ayurved bought Ruchi Soya, which it then rebranded as Patanjali Foods Ltd.