NACL Industries Limited announced that the Company has received Demand order for collection of GST along with Interest and penalty. Name of the Authority: Joint Commissioner, State Tax, Circle-J, Zone-III, Jaipur. Nature and details of the action(s) taken, initiated or order(s) passed: Order passed confirming demand for GST of INR 34,490, Interest of INR 34,612 and Penalty of INR 20,000 aggregating to INR 89,102.

Date of receipt of direction or order, including any ad-interim or interim orders, or any other communication from the authority: April 30, 2024. Details of the violation(s) /contravention(s) committed or alleged to be committed: The demand is raised under Section 73 of GST Act, 2017, for availment of ITC on invoices not reflecting in GSTR2A for F.Y 2018-2019. Impact on financial, operation or other activities of the listed entity, quantifiable in monetary terms to the extent possible: There is no material impact on operations or other activities of the Company due to the said order.

The Company believes that the above demand is not maintainable and hence is in the process of preferring an appeal against the said order /demand. Name of the Authority: Deputy Commissioner (ST), Special Circle, Vizianagaram, Andhra Pradesh. Nature and details of the action(s) taken, initiated or order(s) passed: Order passed confirming demand for GST of INR 8,584,178, Interest of INR 7,001,867 and Penalty of INR 858,418 aggregating to INR 16,444,463.

Date of receipt of direction or order, including any ad-interim or interim orders, or any other communication from the authority: April 30, 2024. Details of the violation(s) /contravention(s) committed or alleged to be committed: The demand is raised under Section 73 of GST Act, 2017, due to ITC Mismatch for non-reflecting of the invoices issued by few suppliers and ITC availed under wrong head for F.Y. 2018-2019. Impact on financial, operation or other activities of the listed entity, quantifiable in monetary terms to the extent possible: There is no material impact on operations or other activities of the Company due to the said order.

The Company believes that the above demand is not maintainable and hence 1s in the process of preferring an appeal against the said order /demand. Name of the Authority: Assistant Commissioner of State Tax Guwahati Assam. Nature and details of the action(s) taken, initiated or order(s) passed: Order passed confirming demand for GST of INR 118,121, Interest of INR 118,717 and Penalty of INR 20,309 aggregating to INR 257, 147.

Date of receipt of direction or order, including any ad-interim or interim orders, or any other communication from the authority: April 30, 2024. Details of the violation(s) /contravention(s) committed or alleged to be committed: The demand is raised under Section 73 of GST Act, 2017, due to under declaration of tax liability and ITC Mismatch for non-reflecting of the invoices issued by few suppliers. Impact on financial, operation or other activities of the listed entity, quantifiable in monetary terms to the extent possible: There is no material impact on operations or other activities of the Company due to the said order.

The Company believes that the above demand is not maintainable and hence is in the process of preferring an appeal against the said order /demand.