The penalty relates to the classification of input tax credit, but the company states there is no operational impact
Reliance Industries Limited (RIL) has been issued a ₹56.44 crore penalty by the Joint Commissioner of CGST, Ahmedabad, over a dispute linked to the interpretation of input tax credit under GST laws. The order was passed on November 25, 2025, and communicated to the company on November 27, 2025.
Penalty Snapshot
| Aspect | Details |
| Penalty Amount | ₹56.44 crore |
| Issuing Authority | Joint Commissioner, CGST, Ahmedabad |
| Relevant Law | CGST Act 2017, IGST Act 2017, and Gujarat GST Act 2017 |
| Grounds | Classification of input tax credit considered as blocked credit |
Company Position and Next Steps
RIL stated that it disagrees with the classification of the services and will file an appeal challenging the order. The company clarified that the matter does not impact its operations, business continuity, or service delivery, and that the financial implication is restricted to the penalty amount.
Summary:
Reliance Industries has been levied a ₹56.44 crore GST penalty related to the interpretation of input tax credit by the CGST Department. The company will contest the order and has confirmed no operational impact.
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