Interglobe Aviation Financial Services (IFSC), a subsidiary of heavyweight Indian carrier IndiGo Airlines (6E, Delhi International), has been slapped with an INR1.18 billion rupee (USD13.1 million) penalty order from the Kochi branch of the Joint Commissioner of Central Tax and Central Excise after the authority disallowed input tax credits (ITCs) availed by the company for the 2019 and 2022 financial years. The carrier intends to contest the December 1 order, saying in a stock filing that having consulted tax advisers, it believes the order is "erroneous" and that it has a strong case on merit. The demand has "no significant impact on financials, operations, or other activities", the airline added.

In July, the airline prevailed in a separate court matter in which India's customs department filed a petition to retrospectively levy integrated goods and services tax (IGST) on aircraft and parts re-imported after being sent overseas for repairs.