Tata Steel Share Price in Focus; High Court Grants Stay on Tax Proceedings

Tata Steel announced that the Jharkhand High Court has stayed further proceedings in its ongoing tax matter. The order, dated March 24, 2026, was received by the company on March 25.  

As per the filing, the stay will remain in place until the next hearing. The court has listed the matter for April 15, 2026.  

Legal Challenge Filed Earlier 

The company had filed a writ petition on March 11, 2026, challenging an earlier adjudication order.  

This order was issued in December 2025 by the Commissioner of CGST and Central Excise, Jamshedpur. The petition seeks to set aside the order and related demands.  

Origin of the Dispute 

The case stems from a show cause notice issued on June 27, 2025. It covered the period from FY2018-19 to FY2022-23.  

The notice proposed disallowance of input tax credit under provisions of the Central Goods and Services Tax (GST) Act and related laws.  

Tax Demand and Exposure 

The authorities had raised a total demand of ₹1,007.54 crore, including tax, interest and penalties. Tata Steel stated that ₹514.19 crore had already been paid during regular business operations. This left an alleged tax exposure of ₹493.35 crore.  

Details of Adjudication Order 

In December 2025, the tax authority directed the company to pay ₹493.35 crore in tax. A penalty of ₹638.82 crore was also imposed, along with applicable interest.  

The company had submitted its response to the show cause notice within the prescribed timelines before the order was issued.  

Read More: LIC Share Price in Focus as IT Dept Slaps ₹7,100 Crore Tax Demand Inclusive of Interest! 

Tata Steel Share Price Performance  

As of March 27, 2026, 9:22 am, Tata Steel Ltd share price was trading at ₹194.83, a 0.93% decrease from the previous closing price. 

Conclusion 

With the High Court granting a stay, no immediate recovery action will proceed. The matter will be taken up again in April, where further directions are expected based on the hearing. 

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