Kalpataru Properties (Thane) Subsidiary Files Appeals with GST Appellate Tribunal Against ₹4.43 Crore Demand for FY2017-18

Subsidiary Appeals GST Demand Linked to Merged Entity

Kalpataru Properties (Thane) Ltd, a wholly owned subsidiary of Kalpataru Limited, has filed appeals with the GST Appellate Tribunal against demand orders totalling ₹4.43 crore for FY2017-18, the company disclosed on 18 June 2026 via a SEBI Regulation 30 filing.

The disputed demands relate to Arimas Developers Private Ltd, which has been merged into the subsidiary, and centre on alleged wrongful availing of transitional credit on inputs in semi-finished goods used for constructing immovable property.

Composition of Contested Amounts

The appeals challenge GST demands of ₹396.49 lakh and ₹46.69 lakh from orders issued in August 2025 and January 2026 by the Additional Commissioner and Deputy Commissioner of State Tax, respectively.

Company Position and Financial Impact

Kalpataru Limited has indicated that the financial impact of the pending appeals is not material to the parent company's consolidated position. The subsidiary is optimistic about a favourable outcome, and the disclosure underscores the company's adherence to regulatory requirements while signalling a potential contingent tax exposure of its real estate operations.

Context: GST Disputes in Real Estate

Kalpataru Limited is an integrated real estate development company with over 113 completed projects across Mumbai, Thane, Panvel, Pune, Hyderabad, Indore, Bengaluru, and Jodhpur, specializing in luxury, premium, and mid-income residential, commercial, and retail developments.

The subsidiary's appeal is part of a broader pattern in the sector. In May 2026, another Kalpataru subsidiary, Ananta Landmarks Private Limited, secured partial relief when a GST Appellate Authority reduced a demand order. The demand was cut to ₹4,00,85,389 from ₹5,48,78,704, a reduction of approximately ₹1.48 crore. That entity has stated its intention to pursue further appeals.

Real estate developers navigating GST implementation frequently encounter disputes over transitional credit availment and the classification of development rights. Kalpataru is led by Mr. Mofatraj P. Munot with over five decades of experience, and Mr. Parag M. Munot with three decades, with a strong presence across all micro-markets in the Mumbai Metropolitan Region and Pune.