Canara HSBC Life Insurance Company Faces GST Demand for Excess ITC Availment in GSTR-3B
Canara HSBC Life Insurance Company Faces GST Demand for Excess ITC Availment in GSTR-3B
Canara HSBC Life Insurance Company Limited informed the National Stock Exchange of India and BSE Limited under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, that it has received the GST demand order for the financial year 2019-20.
Background of the Case
This order was passed following a show cause notice (SCN) dated March 30, 2026, passed by the Office of the Deputy Commissioner, Lucknow Sector 20, Lucknow (C), Lucknow II, Uttar Pradesh, under Section 74 of the UPGST and CGST Acts, 2017. The demand has been raised for claiming excess ITC (Input Tax Credit) in GSTR-3B in comparison to that reflected in Table 8A of GSTR-9. Also, because ITC claimed was not complied with sections 16 and 17 of the CGST Act, 2017. The company has claimed that this demand is not justified, and it will file an appeal against the same before the appropriate appellate authority.
Key details of order
| Particulars | Details |
| Authority Name | Deputy Commissioner Lucknow Sector-20 Lucknow (C) Lucknow II Uttar Pradesh |
| Order Section | Section 74 of the UPGST and CGST Act 2017 |
| Financial Year | 2019-20 |
| SCN Date | 25th April 2025 |
| Order Receipt Date | 30th March 2026 |
| Issue 1 | ITC did not comply with Section 16 and 17 of the CGST Act 2017 |
| Issue 2 | Excess ITC claimed in GSTR-3B compared to the GST portal Table 8A of GSTR-9 |
| Tax Amount | Rs 1,50,82,434 |
| Interest Amount | Rs 1,78,73,303 |
| Penalty Amount | Rs 1,50,82,434 |
| Total Demand | Rs 4,80,38,171 |
The company does not expect any significant impact on the financial, operational, or other activities of the company.