A2Z Infra Engineering Limited announced the demand notice dated 18 March, 2024 for the Financial Year 2018-19 received by the company from the Goods and Services Tax Department (GST) on 22 March, 2024 for an amount of INR 19,698,697/- including penalties. Further, interest on wrongly availed ITC to be calculated at appropriate rate under Section 50 of CGST Act, 2017. Name of the Authority: Assistant Commissioner, CGST & Central Excise Division - IV, Raipur.

GST Demand- INR 17,907,907/- Penalty - INR 1,790,790/- Interest on wrongly availed ITC to be calculated at appropriate rate under Section 50 of the CGST Act, 2017. Details of the violation(s)/contravention(s) committed or alleged to be committed: Taxpayer has availed excess ITC in GSTR-3B as compared to ITC available in GSTR-2A. The Company will challenge the order at the appropriate forum in accordance with the law.

Further, based on the Company's assessment, prevailing law and recent judgements passed by various Hon'ble High Courts, the company reasonably expect a favourable outcome from the appellate authority given the current legal position and the appropriate precedents. Hence, there is no material impact of the same on financial, operations or other activities of the Company.