
New Delhi: The GST authority has imposed a penalty of Rs 36,844 on the Life Insurance Corporation of India (LIC) for lower payment of taxes.
LIC is accused of paying 12% GST instead of 18% on some invoices. The Income Tax Authority has issued a penalty notice for the year 2019-20. The corporation has received a communication/demand order for collection of GST, along with interest and penalty for Jammu & Kashmir state, LIC said in a regulatory filing. The tax authority has raised a demand order cum penalty notice and here, GST – Rs 10,462, penalty-Rs 20,000 and interest-Rs 6,382.
However, LIC has clarified that this will not affect the management and other functions of the corporation. There is no material impact on financials, operations or other activities of the corporation.