The ICICI Bank cases highlight the growing regulatory challenges faced by financial institutions in India related to GST compliance. File photo/ TNIE
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ICICI Bank faces over ₹100 crore GST demand from state authorities

The bank is disputing the tax claims of Rs 50.38 crore from Maharashtra and Rs 49 crore from West Bengal and has decided to challenge them in court.

TNIE online desk

ICICI Bank is facing significant Goods and Services Tax (GST) demands from state tax authorities, totaling more than ₹100 crore. The bank is disputing these claims and has decided to challenge them in court.

In Maharashtra, the GST department issued a demand of ₹50.38 crore against ICICI Bank in January 2025. This includes penalties and interest of the same amount. The demand relates to alleged tax liabilities under the IGST Act, 2017. An appellate order in August 2025 upheld the initial demand, prompting the bank to file an appeal.

Similarly, in West Bengal, tax authorities have imposed a GST demand of ₹49 crore. This case concerns GST on services provided to customers with specified minimum balances. ICICI Bank has also announced its intention to contest this order.

These cases highlight the growing regulatory challenges faced by financial institutions in India related to GST compliance. Although the total demand is small compared to ICICI Bank’s overall size, these disputes point to the complexity of tax regulations in the sector and the likelihood of extended legal proceedings.

ICICI Bank remains focused on resolving these issues through the legal process. Investors and stakeholders are advised to watch for further developments, including any provisions or settlements the bank might announce in the future.

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