Leading air conditioner and refrigerator manufacturer Voltas has suffered a major setback. The company has received a show cause notice worth ₹265.25 crore from the Central Goods and Services Tax (GST) authorities for alleged short payment of tax.
Voltas disclosed this information in an exchange filing on July 2, 2025. As per the filing, the notice was received on July 1 at 5:09 PM, seeking an explanation as to why tax dues amounting to ₹265.25 crore (including interest and penalties) should not be recovered.
Notice Issued by CGST Commissionerate, Dehradun
In its stock exchange filing, Voltas stated:
“We wish to inform you that a show cause notice has been received from the office of the Principal Commissioner, Central GST Commissionerate, Dehradun under the Central Goods and Services Tax Act, 2017, the Uttarakhand GST Act, 2017, and the Integrated GST Act, 2017.”
Allegation of Underpayment by Merged Entity
According to the notice, the alleged tax shortfall pertains to Universal Comfort Products Limited, which was merged with Voltas during FY 2020–21. The notice claims underpayment of GST for financial years 2018–19 to 2020–21.
Voltas has stated that it is currently assessing the matter and will submit a formal response within the stipulated time frame.
Voltas Share Performance on July 2, 2025
Despite the tax notice, Voltas share witnessed a 0.48% rise on July 2, 2025, according to BSE data. The stock opened at ₹1,326 and closed at ₹1,326.05. The 52-week high of the stock stands at ₹1,946.20, while the 52-week low is ₹1,135.55.
As of July 2, the company’s market capitalization was approximately ₹44,087.08 crore.
Strong Q4 Performance in FY 2024–25
Voltas posted robust results for the final quarter (January–March 2025) of the financial year. The company reported consolidated revenue of ₹4,847 crore, compared to ₹4,257 crore in the same period last year — marking a 14% increase.
Profit before tax for the quarter stood at ₹343 crore, up from ₹174 crore a year earlier. Net profit also surged to ₹236 crore, compared to ₹111 crore in the corresponding period of the previous year.
