JSW Dulux, formerly known as Akzo Nobel India Ltd, has received an order from the Karnataka GST Department reducing its tax demand to ₹42.04 crore from ₹118.33 crore in a dispute over input tax credit for FY21. The company is preparing its response to the latest order within the prescribed timeframe.
In a regulatory filing dated October 19, 2026, the company said the order was issued on October 15 by the Assistant Commissioner of Commercial Taxes, LGSTO LTU, Bengaluru. JSW Dulux received the order on October 19 at 3:30 pm.
The dispute relates to the period between April 2020 and March 2021. An earlier show-cause notice, issued on August 5, 2026, proposed disallowing input tax credit under Section 74 of the Central Goods and Services Tax (CGST) Act and the Karnataka State Goods and Services Tax (SGST) Act, 2017.
Input tax credit allows businesses to offset GST paid on purchases against the tax they owe on sales. Disallowing the credit can increase a company’s tax liability.
JSW Dulux GST demand: Tax, interest and penalty explained
The original demand of ₹118.33 crore included ₹40.09 crore in tax, ₹38.18 crore in interest and ₹40.07 crore as a penalty.
JSW Dulux submitted its response to the show-cause notice, along with supporting documents, within the prescribed timeframe. After reviewing the company’s submission, the Assistant Commissioner issued a fresh order reducing the total demand to ₹42.04 crore.
The revised demand comprises ₹14.07 crore in tax, ₹13.90 crore in interest and ₹14.07 crore as a penalty.
This brings the total demand down by ₹76.29 crore, or around 64.47%, compared with the amount mentioned in the original show-cause notice.
However, the dispute has not been settled. JSW Dulux said the latest order allows it to make further submissions to the relevant authorities and that it is preparing its response within the stipulated timeframe. The company has not said that the demand has been cancelled or that the matter has been concluded.
JSW Dulux share price
JSW Dulux shares closed at ₹3,058.60 on the National Stock Exchange (NSE) on October 19, down ₹13.60, or 0.45%, from the previous close. The stock opened at ₹3,094 during the trading session.