Himachal tax officials inspect Adani's warehouse in Parwanoo, scrutinise record

Ambika Sharma

Solan, February 9

A flying squadof theState Taxes and Excise’s Enforcement Wing (south zone) inspected Adani Wilmar Limited’s warehouse at Sector-6in Parwanoo and took its record into custody last evening.

The said firm supplies various grocery/consumer items in the state withState Civil Supplies Corporation too being its client.

While the officials of the State Taxes and Excise say it was a routine inspection, they were yet to communicate any tax evasion by the company which had executed business worth Rs 135 crore last year.

The tax officials have noted that it had not paid its taxes on profit/value addition under the GST norms.

The company has, however, citedGST law under Rule 86B wherebyit is not required to pay tax liability in cash. They said it was a routine inspection by the tax officials.

The Adani group has fivecompanies registered in Himachal which comprise Adani Wilmar Limited at Parwanoo; Adani Power Limited, Kumarsein; Adani Agri-Fresh Limited, Shimla; Adani Infra (India) Limited, Kumarsein; and Adani Gas Private Limited, Baddi.

Out of these five companies, the annual business of three companies was more than Rs 200 crorein the last financial year. The average GST payable comes to more than Rs 25 crore. The two companies namely Adani Power Limited and Adani Infra (India) Limited engaged in business of warehousing in HP have shown nil turnover of GST sales forfinancial year 2021-2022 whereas GST is payable on warehousing rentals income.

A 35 per cent decline was noted in their business in 2021-2022 vis-a-vis 2022-2023 informed sources in the State Taxes and Excise Department.

As per the GST provisions, a tax payer has to deposit the duetax liability, at least one per cent by cash as 100 per cent set off by Input Tax Credit (ITC) is not allowable. If theITC is less than the tax,the balance amount has to be paid in cash.