Oil and Natural Gas Corporation Limited (ONGC) has been hit with a GST tax demand of ₹6.72 crore, including recovery of tax, interest, and penalties related to IGST liabilities.

India’s largest oil and gas producer, ONGC, was served with the GST demand order citing discrepancies in IGST payments for July, October, and November 2017. The demand comprises an IGST recovery amount of ₹2.54 crore, interest charges of ₹1.64 crore, and penalties of ₹2.54 crore imposed for alleged non-compliances.

The Navratna public sector oil and gas producer insisted that all GST payments were made on time. "The delay in appropriation occurred due to technical issues related to the Offshore GST Registration (Other Territory), which was not initially mapped on the GST portal by the concerned authorities," said ONGC in a statement.

The company further emphasized that the delay had no significant impact, considering the size and scale of its operations.