Logistics provider Ecom Express has received a tax demand under the provisions of Goods and Services Tax (GST) of Rs 1.31 crore, said owner Delhivery in an exchange filing on Wednesday.
Delhivery completed the acquisition of Ecom Express through an all-cash deal earlier this year.
The tax demand has been raised under “Section 74 of the CGST/Bihar GST Act, 2017, read with Section 20 of the IGST Act, 2017, for the period from financial year 2018-19 to the financial year 2022-23”, Delhivery said in the exchange filing.
The tax demand has been raised “on account of disallowance of input tax credit and short payment of tax,” the company further added.
Delhivery said Ecom would file an appeal against the order with the GST appellate authority. The tax demand will have no material impact on financials, operations, or other activities for either company, it added.
Source #ET
