NEW DELHI: Market City Resources (MCRPL) and Pallazzio Hotels & Leisure (PHLL), subsidiaries of The Phoenix Mills have received show cause cum demand notice(s) from the GST authorities for payment of tax liability for the tax period April 2018 to March 2019 in relation to discrepancies alleged by the GST authorities during the course of their investigation in the month of May 2023, the company informed in a BSE filing.
While MCRPL received notice of Rs 97.63 lakh (including interest and penalty), PHLL received notice of Rs 6.15 crore. The notices have been served over the GST liability on account of claiming of Block ITC as per section 17(5) of MGST Act.
“There is no material impact on the financial position or operation of the company due to the said tax liability and penalty. The impact is limited to the extent of tax liability as ascertained along with interest and penalty as aforesaid,” the company said in the regulatory filing.
In November 2023, Sparkle Two Mall Developers, a wholly-owned subsidiary of The Phoenix Mills, had approved the acquisition of a land parcel owned by Huhtamaki India, situated at Majiwada Junction, Thane for an aggregate consideration of Rs. 429 crore through the execution of four conveyance deeds.
