Zomato Limited has disclosed receiving a GST order from the Deputy Commissioner of State Tax, Gujarat, pertaining to fiscal 2018-19.
According to Zomato's filing, the order demands a GST payment of Rs 4,11,68,604, along with additional interest and penalty charges, amounting to Rs 8,57,77,696.
The company said the order arose following an audit of GST returns and accounts.
"....this is to inform that the Company has received an order for FY 2018-19 pursuant to the audit of GST returns and accounts by the Deputy Commissioner of State Tax, Gujarat raising demand of GST of INR 4,11,68,604/-, along with applicable interest and penalty totaling to INR 8,57,77,696/-," said Zomato Limited in its stock exchange filing.
The action taken, as detailed by Zomato, pertains to an Adjudication Order passed under Section 73 of the CGST Act, 2017 and GGST Act, 2017. This order imposes a GST demand of Rs 4,11,68,604, along with interest of Rs 4,04,42,232/- and a penalty of Rs 41,66,860, resulting in the total sum mentioned.
The violations cited in the order are about alleged availing excess input tax credit and short payment of GST, as identified during audit proceedings.
Zomato has expressed confidence in its position and stated its intention to challenge the order before the appropriate authorities.
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