Zomato Ltd. has received a tax demand and penalty order of Rs 11.82 crore related to goods and services tax on export services provided to its overseas subsidiaries from July 2017 to March 2021.
The order was passed by the additional commissioner of Central Goods and Services Tax, Gurugram, raising the GST demand of Rs 5,90,94,889, with applicable interest (not quantified) and penalty of Rs 5,90,94,889.
The online food delivery firm acknowledged receipt of the demand order in a late-night exchange filing on Friday and said it would be filing an appeal against it before the appropriate authority.
"The company, in its response to the show cause notice, had clarified on the allegations, along with supporting documents and judicial precedents, which appears not to have been appreciated by the authorities while passing the order," the exchange filing read.
On Friday, Zomato shares rose 2.19% to Rs 189.20 apiece on the BSE even as the benchmark Sensex ended the day 0.83% higher at 73,088.33 points.
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