Voltas Limited has received an Order from the Office of the Deputy Commissioner, Ernakulam Kerala, demanding tax of INR 1.3 million, interest of INR 1.2 million and penalty of INR 0.1 million under Section 73 of the Central Goods and Services Tax Act, 2017, The Integrated Goods and Services Tax Act, 2017 and Kerala State Goods and Services Tax Act, 2017 for the years 2018-19 to 2020-21 for mismatch in input tax credit availed. The Company is in the process of filing an appeal against the said Order. There is no material impact on the financials, operations or other activities of the Company due to this penalty.

By an Order dated 27th April, 2024 passed under Section 73 of the Central Goods and Services Tax Act, 2017, Integrated Goods and Services Tax Act, 2017 and Kerala State Goods and Services Tax Act, 2017, a demand has been raised towards tax of INR 1,320,298/-, interest of INR 1,174,595/- and penalty of INR 132,029/- has been imposed, for mispatch in Input Service Distributor (ISD) input tax credit availed for the years 2018-19 to 2020-21. The Company is in the process of filing an appeal against the said Order. Penalty of INR 132,029/- has been imposed due to mismatch in ISD input tax credit availed.