Supreme Court Decision Enforces Retro Taxes

26 Aug 2024 CW Team

In a significant ruling, the Supreme Court of India has upheld the enforcement of retrospective taxes on major steel and cement companies. This decision mandates these industries to pay substantial taxes related to coal transportation and freight charges that date back several years. The ruling impacts leading steel and cement firms, which now face increased tax liabilities, potentially amounting to significant financial burdens.

The Supreme Court's nod to these retro taxes stems from disputes over historical freight rates and tax assessments on coal transportation. The retrospective nature of the taxes means companies will be required to pay backdated amounts, leading to considerable financial outlays that were not previously accounted for in their financial planning.

This ruling is expected to have wide-ranging implications for the steel and cement sectors, both of which are critical to India's infrastructure development. The imposition of these taxes could lead to increased operational costs, potentially influencing the pricing of steel and cement products. This, in turn, might affect ongoing and future infrastructure projects, given the essential role these materials play in construction and development.

Industry leaders have expressed concern over the ruling, noting the financial strain it could place on their companies, especially during a period where the economy is still recovering from the impacts of the pandemic. The enforcement of these taxes may also set a precedent for similar actions in other sectors, raising the possibility of further retrospective tax claims across industries.

This decision highlights the ongoing challenges companies face regarding tax liabilities and the potential risks associated with retrospective taxation. As the affected companies prepare to comply with the court's directive, the broader implications for the industry and the economy remain a topic of close scrutiny.

Infrastructure Transport

16 Sep 2025

Metro Line 2B Phase 1 to Boost Realty in Mumbai’s Eastern Suburbs

Mumbai’s real estate sector is set for a major boost as Phase 1 of Metro Line 2B, between Mandale and Diamond Garden, nears completion. The Mumbai Metropolitan Region Development Authority (MMRDA) has confirmed that mandatory rectifications are done, and inspections by the Commissioner of Metro Railway Safety (CMRS) have been carried out. The 5.39-km stretch with five stations forms part of the larger DN Nagar–Mandale corridor, designed to ease congestion and improve east–west connectivity. Passenger operations are expected by December 2025, with the full line slated for 2027. ..

WattPower wins Best Inverter award at Global Solar Expo 2025

WattPower, a leading renewable energy solutions provider, has won the award for “Best Inverter in the Utility Segment” at the Global Solar Expo 2025. The recognition underscores the company’s commitment to delivering reliable, high-performance and future-ready solar solutions for large-scale projects. At the forefront of utility-scale solar, WattPower manufactures advanced string inverters that directly feed power into the Indian grid. With robust technology, high-quality components and comprehensive product lifecycle support, its solutions stand among the most sophisticated in the ..

Awfis delivers 67,000 sq. ft. innovation hub for eBay in Bengaluru

Awfis Space Solutions, India’s largest flexible workspace provider and the first publicly listed workspace solutions platform, has partnered with eBay to establish a 67,000 sq. ft. innovation hub at Embassy Tech Village, Bengaluru. The mandate covers design, build and management of the new office, which will act as a strategic hub supporting diverse functions and accelerating eBay’s AI-first commerce strategy. The centre will focus on artificial intelligence, engineering, product development and applied research, strengthening eBay’s growth in India. Embassy Tech Village, North Beng..