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  1. Eternal faces ₹27.55 crore GST demand from West Bengal authorities, plans to appeal

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Eternal faces ₹27.55 crore GST demand from West Bengal authorities, plans to appeal

Upstox

2 min read | Updated on January 09, 2026, 08:55 IST

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SUMMARY

Eternal Ltd, the parent company of Zomato, has received GST demand orders totalling over ₹27.55 crore, including interest and penalties, from West Bengal tax authorities for the period April 2020 to March 2022.

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Eternal, owner of food delivery brand Zomato reported 63% drop in net profit for Q2FY26.

Eternal Ltd on Thursday said it has received GST demand orders worth over ₹27.55 crore, including interest and penalty, from the West Bengal tax authorities for the period between April 2020 and March 2022.

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In a regulatory filing, Zomato parent said the Additional Commissioner of State Tax (Appeals), West Bengal, has confirmed a total GST demand of ₹16.72 crore, along with interest of ₹9.16 crore and penalty of ₹1.67 crore .

The orders, received on January 8, relate to alleged short payment of output tax under the Central Goods and Services Tax Act, 2017 and the West Bengal GST Act, 2017, the company said.

"This is to inform that the Company has received two orders on 8 January 2026 for the period April 2020 to March 2022 passed by Additional Commissioner of State Tax (Appeals), West Bengal, confirming total demand of GST of Rs 16,72,34,030 with interest of Rs 9,16,48,814 and penalty of Rs 1,67,23,404," Eternal informed in a regulatory filing.

The authority confirmed a GST demand of ₹5.59 crore, interest of ₹3.69 crore and penalty of ₹55.95 lakh for the April 2020–March 2021 period, while ₹11.12 crore GST demand with interest of ₹5.46 crore and penalty of ₹1.11 crore for April 2021–March 2022, the demand stands, according to the filing .

“We believe that we have a strong case on merits which is backed by opinions from our external legal and tax advisors,” Eternal said. “The Company will be filing an appeal against the order before the appropriate authority.”

Shares of Eternal ended the day in green at ₹283.15 apiece before the disclosure was made..

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Upstox
Upstox News Desk is a team of journalists who passionately cover stock markets, economy, commodities, latest business trends, and personal finance.

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