Stay updated
Your online food orders just got a little pricier. Fees on platforms like Swiggy and Zomato are subject to 18 per cent Goods and Services Tax (GST) effective from September 22.
Eternal Ltd., the parent company of Zomato, Blinkit, District and Hyperpure, has received tax demand orders from the GST authority amounting to more than Rs 40 crore.
The central government is not planning to impose a new 5% Goods and Services Tax (GST) without input tax credit on food delivery apps like Zomato and Swiggy, Pankaj Chaudhary, Minister of State for Finance, clarified in Rajya Sabha on Tuesday, April 1, 2025.
GST Council, chaired by the federal finance minister, may lower the tax on food delivery charges by e-commerce operators to 5% from 18%, CNBC-TV18 reported, citing sources.
Food delivery giant Zomato Ltd has been slapped with a significant tax demand by the Joint Commissioner of CGST & Central Excise, Thane Commissionerate, Maharashtra. The order alleges non-payment of goods and services tax (GST) on delivery charges for the period between October 29, 2019, and March 31, 2022. The total demand includes a GST liability of Rs. 401.7 crore, an equal amount in penalty, and applicable interest, brining the total to Rs. 803.4 crore. This development has raised questions about compliance practices in the rapidly growing food delivery industry. Despite the setback, Zomato has vowed to contest the order, citing strong legal grounds.
Online food delivery aggregator Zomato on Wednesday said it has received a GST demand order along with interest and penalty amounting to Rs 17.7 crore from the Assistant Commissioner of Revenue, West Bengal.
Zomato, on September 14, announced its intention to challenge a recent GST order from the West Bengal government demanding a total of Rs 5.6 crore for the period from April 2020 to March 2021, which includes GST, interest, and penalties.
Deepinder Goyal-led Zomato appears to have ran into a bit of a trouble, as the company has been served with a GST penalty notice of Rs 3.5 lakh. This also appears to have started to affect their performance at teh equity market as well. The company shares were trading in red in the early hours of the day’s trade on Monday, September 2.
In a recent development, online food delivery giant Zomato has found itself in the crosshairs of tax authorities yet again. The company has received a demand and penalty order exceeding Rs 2 crore from a sales tax officer in Delhi.
Food delivery giant Zomato disclosed on April 19 that it had received a Goods & Services Tax (GST) demand and penalty order amounting to Rs 11.81 crore for the July 2017 to March 2021 period.