Phoenix Mills Ltd shares fell 3% on 29 September after the company’s subsidiaries received a showcause-cum-demand notice dated 27 September from GST authorities.

The company intends to contest the matter at an appropriate forum.

The company, in its regulatory filing, said, “Phoenix Mills subsidiaries Vamona Developers Pvt Ltd, Offbeat Developers Pvt Ltd, Market City Resources Pvt Ltd, Pallazzio Hotels & Leisure received showcause-cum-demand notices for payment of tax liability in relation to discrepancies alleged by the GST authorities during the course of their investigation in May 2023.”

The GST authorities have advised the company’s subsidiaries to pay the amount of tax as determined, including the applicable interest and penalty for the tax period from July 2017 to March 2018.

At 3:01 pm, the share of Phoenix Mills was trading at Rs 1,818.80 or 1.67% below its previous close on NSE.