Traveltech Firm ixigo Gets Rs 1.8 Cr GST Demand Notice

Travel tech company ixigo has received a GST demand of nearly Rs 89.8 lakh, along with an equal penalty, from the Assistant Commissioner of CGST in Gurugram, Haryana.

The notice claims that ixigo did not pay GST on certain "export of services" that were classified as "intermediary services."

The total amount requested, including GST and penalty, is about Rs 1.8 crore, plus interest. The company stated it will appeal the order and believes it has a strong case.

Read also- AlcoBev startup Basil Alliance Gets Funding From Inflection Point Ventures

This comes at a time when several new tech companies have recently received GST demand notices. On Tuesday (February 4), Paytm’s parent company, One97 Communications, was hit with a penalty of INR 1.19 crore. Paytm founder and CEO Vijay Shekhar Sharma was also fined INR 59.94 lakh.

On the same day, Paytm announced it had received a GST demand notice of INR 3.73 crore, along with an equal penalty, plus interest.

Recently, Zomato, led by Deepinder Goyal, announced that GST authorities dropped a demand of Rs 5.91 crore. The demand, raised by the Additional Commissioner of CGST in Gurugram, was for the period between July 2017 and March 2021 and included a penalty of Rs 5.91 crore along with interest.

Advertisment

Financial Status

Earlier this month, ixigo reported a 49% drop in its consolidated net profit to INR 15.54 crore in Q3 of FY25, down from INR 30.65 crore in the same quarter last year, mainly due to tax expenses.

The travel tech platform's operating revenue grew by 42% to INR 241.76 crore in the reviewed quarter, up from INR 170.55 crore in Q3 FY24.

Last week, the company also issued 10.58 lakh equity shares to eligible employees under various employee stock option plans (ESOPs).

Startup Funding News: Your Gateway to Every Funding Update.

Latest Startup News: Stay updated with the latest startup news and trends. Your go-to source for startup ecosystem updates.

Advertisment

Startup Stories: Discover inspiring tales of startups overcoming challenges and achieving success.