Indian Railway Finance Corporation Ltd (IRFC) received a ₹396.91 crore show‑cause notice from the Joint Commissioner of State Tax, Hajipur Circle, Hajipur on 29 September 2026 under Section 73 of the BGST/CGST Act, 2017. The notice includes applicable interest and penalty for the period from April 2022 to March 2023, as per a regulatory filing.

IRFC reported a 10.40% year‑on‑year increase in net profit to ₹1,927 crore in the April‑June quarter of the 2026‑27 financial year (Q1 FY27), compared with ₹1,745.69 crore in the corresponding period of the previous fiscal year. Revenue from operations rose 19.46% YoY to ₹8,261.11 crore, up from ₹6,915 crore in the June quarter of the 2025‑26 fiscal year (Q1 FY26).

Shares of IRFC closed 1.22% lower at ₹79.28 on the National Stock Exchange on 30 September 2026, after the market had already closed. The scrip has fallen 2% in the past week and 5% over the month. It has declined 37% on a year‑to‑date basis.

The equity reached a 52‑week high of ₹137.17 on 29 December 2025, before touching a year’s low of ₹77.07 on 29 September 2026. IRFC has a total market capitalisation of ₹1.04 lakh crore as of 30 September 2026, according to NSE data.

IRFC stated that the case is still at the show‑cause notice stage and no order has yet been issued, so the financial implications cannot be quantified at this stage. The company is in the process of filing a reply to the notice, and only after the issuance of an order can the penalty be quantified.