Nuvoco Vistas Faces ₹112.48 Crore GST Show Cause Notice, Shares Fall

Mumbai, September 26, 2025 – Nuvoco Vistas Corporation Ltd (NSE: NUVOCO, BSE: 543334) shares declined more than 4% after the announcement that the Joint Commissioner (Prev), CGST & Central Excise, Raipur, issued a show cause notice covering an alleged tax demand and penalty of ₹112.48 crore. The notice is for FY 2019–20 to September 2024 of FY 2024-25.

Details of the Dispute

The notice accuses Nuvoco Vistas’ Carrying and Forwarding Agents (C&FAs) of raising invoices without the supply of cement. Tax authorities have used typos in vehicle numbers that the C&FA operators entered as the reason for making the accusation. The total amount demanded is as follows: tax demand of ₹37.61 crore and penalty of ₹74.87 crore, which together amount to ₹112.48 crore.

The company argues that it has adequate proof in favour of the genuineness of transactions and hopes for the demand and penalties to be waived off without financial implications.

Stock Market Response

At 2:23 pm IST on September 26, 2025, Nuvoco Vistas’ share price was at ₹424.00, down 4.13% from the last close of ₹442.25. The stock opened at ₹433.20, touched a high of ₹438.00, and a low of ₹422.35.

Company’s Stand

Nuvoco Vistas highlighted that the tax demand is raised on assumptions and not keeping facts in view. The company has requested the necessary information from the tax officials and intends to submit a proper reply before the Joint/Additional Commissioner, CGST & Central Excise, Raipur.

A part of the Nirma Group, Nuvoco Vistas Corporation Ltd is among India’s top cement and building material firms. Listed since August 2021, the group has operations in cement, ready-mix concrete, and new-age building solutions, catering to a pan-India market.

REF: https://nsearchives.nseindia.com/corporate/NUVOCO_25092025173638_SEBI_Intimation_NVCL_CG_GST_DRC-01_FY20_-_FY25.pdf

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