ixigo Gets INR 1.8 Cr GST Demand, Penalty Notice

Online travel aggregator Ixigo has received a GST demand order of INR 89.8 Lakh from the Haryana GST authorities.

In an exchange filing, ixigo said that it received the demand notice from the assistant commissioner, Gurugram, Haryana, asking it to pay GST of INR 89.9 Lakh. The company has also been asked to pay the applicable interest on this amount and a penalty of INR 89.9 Lakh. 

The order pertains to the historical business of the company involving the “export of services alleged as intermediary services”. 

ixigo said it will file an appeal against the order before the appropriate authority. “We believe that we have a strong case on merits. The company will be filing an appeal against the order before the appropriate authority,” the filing added.

This comes at a time when a number of new-age tech companies have been hit by GST demand notices in the recent past. On Tuesday (February 4), Paytm parent One97 Communications was slapped with a penalty of INR 1.19 Cr. A penalty of INR 59.94 Lakh was also imposed on Paytm founder and CEO Vijay Shekhar Sharma.

On the same day, Paytm said it also received a GST demand notice of INR 3.73 Cr, along with a penalty of an equivalent amount, plus interest. 

Meanwhile, ixigo, earlier this month, reported a 49% decline in its consolidated net profit to INR 15.54 Cr in Q3 of FY25 from INR 30.65 Cr in the year-ago quarter, largely due to tax expenses. 

The travel tech platform’s operating revenue surged 42% to INR 241.76 Cr during the quarter under review from INR 170.55 Cr in Q3 FY24. 

Last week, the company also allotted 10.58 Lakh equity shares to eligible employees under various employee stock option plan (ESOP) schemes

Shares of ixigo ended Wednesday’s (February 5) trading session 2.79% higher at INR 158.25 on the BSE.