ICICI Lombard receives Rs 1,729 cr tax demand from GST Intelligence

For alleged non-payment of taxes from July 2017 to March 2022, the Directorate General of Goods and Services Tax (GST) Intelligence issued ICICI Lombard General Insurance Company a tax demand and show cause demand notice of Rs 1,728.9 crore.

“The alleged demand and the impugned Show Cause Cum Demand Notice pertains to non-payment of GST on the Co-insurance premium accepted as follower in case of coinsurance transactions and non-payment of GST on re-insurance commission accepted on the reinsurance premium ceded to various Indian and Foreign reinsurance companies during the period July 2017 to March 2022,” said the company in an exchange filing late Wednesday.

According to the general insurer, it will respond to the notice appropriately based on guidance from its tax advisors.

It received a tax demand for Rs 273 crore related to motor insurance claims in August. The company deposited Rs 104 crore under protest without taking any responsibility for the liability.