Tata Steel has received a show cause notice from the Central Goods and Services Tax (CGST) and Central Excise authorities in Jamshedpur, Jharkhand, over alleged irregular claims of Input Tax Credit (ITC) amounting to ₹890.52 crore for the financial years 2018–19 to 2020–21.

In a regulatory filing, the steel major disclosed that the notice, dated June 13, was received. The tax department has questioned why the claimed ITC should not be recovered from the company, and has also sought to impose applicable interest and penalties for the said period.

The notice directs Tata Steel to appear before the Additional or Joint Commissioner of CGST and Central Excise, Jamshedpur, within 30 days from the date of receipt to present its case and respond to the allegations.

Responding to the development, Tata Steel stated that it believes the show cause notice is without merit. The company confirmed it will file its formal submissions within the stipulated period and intends to contest the demand. It further assured that the notice has no bearing on its ongoing financial or operational performance.

This notice adds to a growing list of high-profile tax matters under scrutiny, even as large corporations continue to navigate complex indirect tax frameworks post-GST implementation.