Zomato faces a GST tax demand of over Rs 4.59 crore from Tamil Nadu and West Bengal authorities, including penalties and interest. The company plans to appeal the adjudication orders, asserting it has a strong case.
Online food delivery platform Zomato has received GST tax demand orders of over Rs 4.59 crore, including applicable interest and penalty, from Tamil Nadu and West Bengal authorities. The company said it plans to appeal against the demand orders passed by the Assistant Commissioner of GST and Central Excise, Nungambakkam Division, Tamil Nadu, and Assistant Commissioner of Revenue, Government of West Bengal.
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The Tamil Nadu tax authority passed an Adjudication Order under Section 73 of the Central Goods and Services Tax Act, 2017, and Tamil Nadu Goods and Services Tax Act, 2017, for GST of Rs 81,16,518, with applicable interest (not quantified) and penalty of Rs 8,21,290. Meanwhile, the West Bengal authority passed an adjudication order under Section 73 of the Central Goods and Services Tax Act, 2017, and West Bengal Goods and Services Tax Act, 2017 for GST of Rs 1,92,43,792 with interest of Rs 1,58,12,070 and a penalty of Rs 19,24,379. In a regulatory filing,
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Zomato said it has clarified in its response, along with relevant documents and judicial precedents, “which appears to not have been appreciated by the authorities while passing the order”.”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,” Zomato stated.
