Zomato Receives GST Demand, Penalty Order Of Over ₹2 Crore

Online food delivery platform Zomato has received a fresh goods and services tax (GST) demand and penalty order of more than Rs 2 crore from Delhi's sales tax officer.

The order consists of Rs 2,22,91,376 in GST demand with interest of Rs 2,08,98,164 and a penalty of Rs 22,29,136 for the April 2018 to March 2019 period.

"The Company has received an order for the period April 2018 to March 2019 passed by the Sales Tax Officer, Ward 300, Delhi confirming the demand of GST of Rs 2,22,91,376 with interest of Rs 2,08,98,164 and penalty of Rs 22,29,136," Zomato said in a stock exchange regulatory filing.

The foodtech major said that it will be filing an appeal against the order before the appropriate authority. "We believe that we have a strong case on merits and the company will be filing an appeal against the order before the appropriate authority," Zomato said.

Prior notice

Last month, the company also received GST demand and penalty order worth Rs 11.81 crore. The order consists of Rs 5.9 crore in GST demand and a penalty of Rs 5.9 crore for the July 2017-March 2021 period. Earlier this month, Zomato had said it received notices from the tax authorities in Delhi and Karnataka over alleged short payment of GST in 2018 amounting to Rs 4.2 crore. -