Religare Enterprises shares in focus as material subsidiary receives tax demand
Religare Enterprises share price today: The demand order pertains to matters relating to industry wide issues of non-payment of GST on the co-insurance premium accepted as follower in case of coinsurance transactions.
- Jan 2, 2024,
- Updated Jan 2, 2024 7:40 AM IST
Shares of Religare Enterprises Ltd will be in focus on Tuesday morning after the company said its material subsidiary Care Health Insurance received a tax demand of Rs 35.92 crore, along with penalty of Rs 3.59 crore and applicable interest. In a filing to BSE, Religare Enterprises said Care Health Insurance would be filing an appeal against the said order before an appropriate forum within the prescribed timelines, based on the advice of tax consultants.
Religare Enterprises said the tax demand came from Principal Commissioner Central Goods & Service Tax & Central Excise Commissionerate, Chandigarh. The demand order, it said, pertains to matters relating to industry wide issues of non-payment of GST on the co-insurance premium accepted as follower in case of coinsurance transactions wherein 100 per cent GST was paid by leader on behalf of follower during the period July 2017 to March 2022, and non-payment of GST on re-insurance commission accepted on the reinsurance premium ceded to various reinsurance companies during the period July 2017 to March 2022.
The financials of Care Health Insurance are consolidated with the company. The GST demand penalty and interest are payable by CHIL. However, CHIL would appeal against the said demand order before the appropriate forum, Religare Enterprises said.
"This is to inform that Care Health Insurance Limited (CHIL), a material subsidiary company of Religare Enterprises Limited (REL/Company), has received an order dated 30-12-2023 from the Principal Commissioner Central Goods & Service Tax & Central Excise Commissionerate
Chandigarh under section 73 of the Central Goods and Services Tax Act, 2017 ("the Act") on 31-12-2023 (communicated to the Company on 01-01-2024) raising a tax demand of Rs. 35,92,08,706/- along with penalty of Rs. 3,59,20,871/- and applicable interest," Religare said.
"Based on the advice of Tax Consultants, CHIL would be filing an appeal against the said Order before an appropriate forum within the prescribed timelines," it added.
Religare Enterprises shares are up 26 per cent in the last one year.
Also read: YES Bank, Reliance Industries, Britannia: Trading strategies for these large cap stocks
Shares of Religare Enterprises Ltd will be in focus on Tuesday morning after the company said its material subsidiary Care Health Insurance received a tax demand of Rs 35.92 crore, along with penalty of Rs 3.59 crore and applicable interest. In a filing to BSE, Religare Enterprises said Care Health Insurance would be filing an appeal against the said order before an appropriate forum within the prescribed timelines, based on the advice of tax consultants.
Religare Enterprises said the tax demand came from Principal Commissioner Central Goods & Service Tax & Central Excise Commissionerate, Chandigarh. The demand order, it said, pertains to matters relating to industry wide issues of non-payment of GST on the co-insurance premium accepted as follower in case of coinsurance transactions wherein 100 per cent GST was paid by leader on behalf of follower during the period July 2017 to March 2022, and non-payment of GST on re-insurance commission accepted on the reinsurance premium ceded to various reinsurance companies during the period July 2017 to March 2022.
The financials of Care Health Insurance are consolidated with the company. The GST demand penalty and interest are payable by CHIL. However, CHIL would appeal against the said demand order before the appropriate forum, Religare Enterprises said.
"This is to inform that Care Health Insurance Limited (CHIL), a material subsidiary company of Religare Enterprises Limited (REL/Company), has received an order dated 30-12-2023 from the Principal Commissioner Central Goods & Service Tax & Central Excise Commissionerate
Chandigarh under section 73 of the Central Goods and Services Tax Act, 2017 ("the Act") on 31-12-2023 (communicated to the Company on 01-01-2024) raising a tax demand of Rs. 35,92,08,706/- along with penalty of Rs. 3,59,20,871/- and applicable interest," Religare said.
"Based on the advice of Tax Consultants, CHIL would be filing an appeal against the said Order before an appropriate forum within the prescribed timelines," it added.
Religare Enterprises shares are up 26 per cent in the last one year.
Also read: YES Bank, Reliance Industries, Britannia: Trading strategies for these large cap stocks