Online food delivery aggregator Zomato announced that it has received a GST demand order for the period April 2021 to March 2022, along with interest and penalty amounting to Rs 17.7 crore, from the Assistant Commissioner of Revenue, West Bengal.
In a regulatory filing, Zomato said, “The company has received an order for the period April 2021 to March 2022 passed by Assistant Commissioner of Revenue, Government of West Bengal confirming demand of GST of Rs 11,12,79,712 with interest of Rs 5,46,81,021 and penalty of Rs 1,11,27,971.” The order was received on September 17.
This, per reports, is the third notice to Zomato by the West Bengal government for non-payment of GST on delivery charges for three consecutive fiscal years.
“The company believes that it has a strong case to defend the matter before the relevant appellate authority and does not expect any financial impact on the Company. This is also supported by opinions from our external legal and tax advisors,” it said while maintaining that the company had clarified on the issue along with relevant documents and judicial precedents, which the authorities did not consider while passing the order.
Earlier in August, Zomato had released its fiscal first quarter earnings with profit at Rs 253 crore, posting a growth of 12550 per cent in comparison to Rs 2 crore recorded during the corresponding quarter of FY24. It posted revenue from operations at Rs 4,206 crore, up 74.1 per cent on-year.
The food delivery platform had reported gross order value (GOV) growth across its B2C businesses (food delivery, quick commerce and going-out) at Rs 15,455 crore, up 53 per cent YoY.
From: financialexpress
Financial News
