Zomato Wins Major Tax Battle: GST Authority Withdraws ₹5.9 Crore Demand Notice

 

In a significant victory for food delivery giant Zomato, the GST authorities have withdrawn their ₹5.9 crore tax demand notice after a thorough review of the company's delivery fee structure. The tax dispute, which centered around the classification of delivery charges under GST regulations for FY 2018-19, was resolved after Zomato successfully demonstrated compliance with tax norms. This development brings relief to the food-tech sector, potentially setting a precedent for similar cases. Zomato's shares responded positively, gaining 2.3% in today's trading session.

Source: Economic Times, Business Standard