BENGALURU (Reuters) – India’s top organization for indirect taxes has issued notices on unpaid taxes worth about 7.5 billion rupees ($90 million) to food delivery companies Zomato and Swiggy, CNBC-TV18 reported on Wednesday, citing sources.
The Directorate General of GST Intelligence (DGGI) has sent a tax demand of more than 4 billion rupees to Zomato and of around 3.5 billion rupees to Swiggy, the report said.
The DGGI considers delivery a service on which the two companies are liable to pay goods and services tax (GST) between July 2017 and March 2023, CNBC-TV18 reported.
Zomato declined to comment, while Swiggy and the DGGI did not immediately respond to Reuters’ requests for comment. ($1 = 83.2440 Indian rupees)
(Reporting by Varun Vyas in Bengaluru; Editing by Savio D’Souza)