RBL Bank receives Rs 92-crore GST demand notice, says no impact on financials
RBL Bank stock rose 3% to Rs 268.60 against the previous close of Rs 262.50 on BSE . Market cap of the bank climbed to Rs 16,391 crore.
- Oct 2, 2025,
- Updated Oct 2, 2025 3:16 PM IST
Private sector lender RBL Bank has received a show cause notice dated September 30, 2025 under Section 74 of the Maharashtra Goods and Services Tax Act, 2017 from the Assistant Commissioner of State Tax, Mumbai.
The notice makes a demand of Rs 92 crore, including interest and penalty, for the financial year 2019–20. The demand relates to reversal of GST input credit taken under a separate registration obtained for the bank’s digital banking vertical.
"We wish to inform you that RBL Bank Limited (“the Bank”) has received a show cause notice (SCN) dated September 30,2025 under Section 74 of Maharashtra Goods and Services Tax Act, 2017 from Assistant Commissioner of State TaxMumbai proposing GST demand of Rs. 92,00,23,536/- (including interest and Penalty) for the financial year 2019-20 pertaining to reversal of GST input credit, taken under separate registration obtained for the Digital Banking Business vertical, by the Bank," said the lender.
"The Bank will submit response to the said cause notice within prescribed timelines. Based on the Bank’s assessment, the Bank is hopeful of a favorable outcome and does not reasonably expect the said SCN to have any material financial impact on the Bank," added the bank.
On Wednesday, the banking stock closed 0.85% lower at Rs 275.25 against the previous close of Rs 277.60 on BSE. However, RBL Bank shares also hit a fresh 52-week high of Rs 281.50.
Market cap of the bank slipped to Rs 16,873 crore on BSE. Total 14.71 lakh shares of the firm changed hands amounting to a turnover of Rs 39.82 crore.
The stock has a beta of 1.2, indicating high volatility in a year.
In terms of technicals, the relative strength index (RSI) of RBL Bank stands at 57.5, signaling it's neither trading in the overbought nor in the oversold territory. RBL Bank shares are trading higher than the 5 day, 10 day, 50 day, 100 day, 150 day and 200 day moving averages.
The lender reported a 46% fall in standalone net profit to Rs 200.33 crore for the first quarter ended June 2025 compared to a profit of Rs 371.52 crore in corresponding quarter of last year. Weaker interest income and rising expenses weighed on the bank's performance.
Net Interest Income (NII) slipped 13% YoY to Rs 1,481 crore from Rs 1,700 crore a year ago, and declined 5% sequentially compared to Rs 1,563 crore in the March 2025 quarter. The bank’s net interest margin (NIM) for Q1 FY26 stood at 4.50%.
Private sector lender RBL Bank has received a show cause notice dated September 30, 2025 under Section 74 of the Maharashtra Goods and Services Tax Act, 2017 from the Assistant Commissioner of State Tax, Mumbai.
The notice makes a demand of Rs 92 crore, including interest and penalty, for the financial year 2019–20. The demand relates to reversal of GST input credit taken under a separate registration obtained for the bank’s digital banking vertical.
"We wish to inform you that RBL Bank Limited (“the Bank”) has received a show cause notice (SCN) dated September 30,2025 under Section 74 of Maharashtra Goods and Services Tax Act, 2017 from Assistant Commissioner of State TaxMumbai proposing GST demand of Rs. 92,00,23,536/- (including interest and Penalty) for the financial year 2019-20 pertaining to reversal of GST input credit, taken under separate registration obtained for the Digital Banking Business vertical, by the Bank," said the lender.
"The Bank will submit response to the said cause notice within prescribed timelines. Based on the Bank’s assessment, the Bank is hopeful of a favorable outcome and does not reasonably expect the said SCN to have any material financial impact on the Bank," added the bank.
On Wednesday, the banking stock closed 0.85% lower at Rs 275.25 against the previous close of Rs 277.60 on BSE. However, RBL Bank shares also hit a fresh 52-week high of Rs 281.50.
Market cap of the bank slipped to Rs 16,873 crore on BSE. Total 14.71 lakh shares of the firm changed hands amounting to a turnover of Rs 39.82 crore.
The stock has a beta of 1.2, indicating high volatility in a year.
In terms of technicals, the relative strength index (RSI) of RBL Bank stands at 57.5, signaling it's neither trading in the overbought nor in the oversold territory. RBL Bank shares are trading higher than the 5 day, 10 day, 50 day, 100 day, 150 day and 200 day moving averages.
The lender reported a 46% fall in standalone net profit to Rs 200.33 crore for the first quarter ended June 2025 compared to a profit of Rs 371.52 crore in corresponding quarter of last year. Weaker interest income and rising expenses weighed on the bank's performance.
Net Interest Income (NII) slipped 13% YoY to Rs 1,481 crore from Rs 1,700 crore a year ago, and declined 5% sequentially compared to Rs 1,563 crore in the March 2025 quarter. The bank’s net interest margin (NIM) for Q1 FY26 stood at 4.50%.