Aurobindo Pharma Faces ₹7.05 Crore GST Demand Over Alleged Excess ITC Claims

Aurobindo Pharma is facing a GST demand worth crores over alleged excess Input Tax Credit (ITC) claims. ITC allows businesses to reduce their output tax liability by the amount of GST paid on their purchases. The demand suggests that the tax authorities believe Aurobindo Pharma has claimed ITC on ineligible inputs or beyond the permissible limits. This underscores the need for meticulous record-keeping and accurate reconciliation of ITC claims under the GST framework.