E-Cell, IIT Indore’s Post

As a consumer, I'm paying 100 rupees for a 20 rupee idly i order on Swiggy/Zomato. Idly - 20 rupees (But restaurant sells same idly on swig/zom for 30-40 rupees) Delivery - 40 rupees Extra charge, gst, tax - 30 rupees But I'm still paying all this bcs of the convenience I get. The apps like Matrimony, Kuku FM, Shaadi, want to dodge Google/Apple fees (just like our delivery fees and extra charges that we wanna dodge) But we can't get food via those 2 apps without paying all this extra fees and you can't get business without paying those 2 stores. It's capitalism 101. To avoid fees, I'll go walk to the restaurant to have 20 rupee idly. These startups should also use their own website real estate sometime or just pay the mandatory charges instead of avoiding and breaking the rules and crying for getting banned. It is what it is. Don't cry if you break the rules and RBI says FU to you (Think Paytm) Similarly, if Google is charging 30%, Indian govt is charging: - 18% GST - 30% corporate tax on Profits - Upto 40% tax on income Will you file a case against govt too? for high taxes? Yes, it's not fair. Reforms need to be brought, steps need to be taken to help Indian Entrepreneurs succeed 🙌 But it's life, it's never been fair. Welcome to the real world.

What’s new? Here,it is 👀 Zomato has received a massive tax demand of Rs 803.4 crore from the GST authorities. The demand order, which was received on December 12, 2024, pertains to non-payment of GST on delivery charges, including interest and penalty, for the period between October 29, 2019, and March 31, 2022. According to Zomato’s regulatory filing, the company believes it has a strong case and will file an appeal against the order before the appropriate authority. The tax demand consists of Rs 401.7 crore as GST demand and an equal amount as interest and penalties. This development comes after Zomato recently raised Rs 8,500 crore through a qualified institutional placement (QIP) of equity shares to fund its growth objectives. #kraftrs #Zomato #GSTDemand #TaxNotice #FoodDelivery #Ecommerce #BusinessNews #IndianEconomy #Taxation #GSTCouncil #ZomatoNews #FoodTech #StartupNews #IndiaBusiness #TaxDispute #GSTAuthorities #ZomatoTaxDemand #FoodDeliveryMarket

Zomato, the foodtech giant, has initiated a service to assist its delivery partners with income tax return (ITR) filings, allo͏wing them to͏ claim refunds on th͏eir TDS deductions͏. Cofounder and CEO Deepinder Goyal annou͏nced o͏n X, “Throu͏gh this ini͏tiative, many of our͏ delivery partners will be filing taxes for the first time, which will simplify their lives in the long term. For instance, they͏ ͏will gain access to struc͏tured credit and become elig͏ible ͏for s͏cholarships f͏o͏r their child͏ren at vari͏ous educational institutions.” He also noted͏ that͏ w͏ithin͏ 48 hours of launching the f͏eature on the Zomato Delivery Partner a͏pp, over͏ 1͏00,͏000 p͏artners had started their ITR filings. Read full story here: https://lnkd.in/gzwvY_8x #zomato #foodtech #itr #tax #foodindustry #deliverypartners Ashu Agrawal

🚨 Breaking News! Zomato, one of India's leading food delivery platforms, has received a service tax demand and penalty order of ₹184 crore. This development has sent ripples through the business community, highlighting the intricate and complex regulatory landscape that businesses must navigate in today’s digital economy. 🌐💼 . A demand order has been received for non-payment of service tax from October 2014 to June 2017. The tax was determined based on certain sales made by the company's foreign subsidiaries and branches to its customers outside India. . Zomato has stated that it will file an appeal against the order before an appropriate authority. The company believes it has a strong case on merits and does not expect any financial impact from this development. . This incident underscores the importance of compliance with tax laws and regulations. It serves as a wake-up call for all businesses, big or small, to ensure their operations align with the latest tax norms. 📜💡 . As we continue to innovate and grow, staying updated with regulatory changes is just as important as developing new strategies for business expansion. Let’s learn from this and strive to balance innovation and compliance. 🚀⚖️ . Stay tuned for more updates on this story. . #Zomato #ServiceTax #DigitalEconomy #Tax #Regulations #Penalty #BusinessCompliance #RegulatoryLandscape

Earnings Corner Aadit Palicha, CEO, Zepto Zepto FY24 report: revenue more than doubles to Rs 4,454 crore; net loss marginally down: Quick commerce firm Zepto reported operating revenue of Rs 4,454 crore in fiscal 2024, a 120% jump from FY23 in a year that saw rapid growth for the 10-minute grocery delivery space. Myntra turns in a profit in FY24, revenue jumps 15% to Rs 5,122 crore: Flipkart-owned fashion platform Myntra posted a net profit in FY24 from a net loss a year ago. This turnaround was driven by increased revenue and a reduction in overall expenses. The Bengaluru-based company reported a net profit of Rs 31 crore for fiscal year 2024, a significant improvement from the net loss of Rs 782 crore in the previous year. Fintech News Financial institutions double down on more checks for tech partners: Regulated entities such as banks and financial services companies are evaluating options like having backup service providers and tightening their data-sharing norms with technology service companies in the wake of a massive data leak that impacted Signzy. Higher borrowing costs leave a strain on new-age NBFC profits: New-age non-banking finance companies (NBFCs) have seen a fall in net profit between the September quarter of 2024 and 2023, with some managing to keep it flat or reporting tepid growth, according to regulatory filings seen by ET. Quick Commerce Rush Blinkit enters 10-minute food delivery space with Bistro app: Zomato-owned quick commerce platform Blinkit has launched a standalone app Bistro, marking its foray into the 10-minute food delivery space. The service has been rolled out in a few localities of Gurugram. Zepto to launch standalone app for 10-minute food delivery service: Quick commerce platform Zepto is set to launch a standalone app for its 10-minute food delivery service Cafe next week, Aadit Palicha, CEO of the company said in a social media post on Wednesday.

🚀 Exciting News! 🌟 Zomato, the leading food delivery giant, has taken a significant step to empower its delivery partners! 🛵💡 They’ve introduced a game-changing initiative aimed at simplifying the income tax return (ITR) filing process for their hardworking fleet of riders. 📊👏 🌐 Through this new feature, Zomato’s delivery partners can now claim tax refunds by filing their ITR. Within a mere 48 hours of launching this feature on the Zomato Delivery Partner app, over 100,000 partners have already initiated their tax filings! 📈💰 This enthusiastic response underscores the demand for streamlined tax processes among delivery personnel. 💪🔍 🌟 Zomato expects its delivery partners to collectively receive tax refunds exceeding Rs 40 crore—a substantial amount that reflects the scale of operations and the positive impact on their financial well-being. 🤑🌏 Moreover, this initiative opens doors to long-term benefits, including access to structured credit and potential scholarships for their children. 🎓👨👩👧👦 Let’s applaud Zomato for championing financial empowerment! 🙌🚀 #Zomato #TaxFiling #DeliveryPartners #BusinessGrowth #Innovation #FinTech #CompanyNews #Startup #GigEconomy #India #BelieveIndia To read more in detail, click below:👇 https://lnkd.in/gqV3KpkA

🍴 Zomato Launches ITR Filing Service for Delivery Partners. Zomato, the renowned food delivery giant, has introduced a new initiative to assist its delivery partners with Income Tax Return (ITR) filing, reflecting its commitment to their financial well-being and compliance. 💰 Service Details: - Launch: Zomato has rolled out a service to facilitate ITR filing for its delivery partners. - Objective: The initiative aims to simplify the tax filing process for delivery personnel, ensuring they meet their tax obligations with ease. 🔍 Background: - Financial Inclusion: Many gig workers face challenges in understanding and complying with tax regulations. Zomato’s initiative is a step towards financial inclusion and education. - Support System: The company is providing resources and support to help delivery partners navigate the complexities of tax filing. 🚀 Implementation: - User-Friendly Interface: The service is designed to be user-friendly, making it accessible even for those with limited financial literacy. - Assistance Provided: Delivery partners can avail of guidance and support throughout the ITR filing process. 📈 Impact and Benefits: - Compliance: This move ensures that delivery partners are tax compliant, reducing the risk of penalties and legal issues. - Financial Health: By facilitating tax filing, Zomato helps its partners manage their finances better, promoting overall financial health. - Retention and Loyalty: Offering such supportive services can enhance delivery partner satisfaction and loyalty, benefiting Zomato in the long run. 📅 Future Outlook: - Expansion: Depending on the success of this initiative, Zomato might consider expanding similar support services to other aspects of financial management for its partners. - Industry Trend: This move sets a precedent in the gig economy, encouraging other companies to implement similar measures to support their workforce. Zomato's initiative to assist delivery partners with ITR filing marks a significant step in supporting their financial well-being and compliance. This service not only simplifies the tax process but also promotes financial literacy and inclusion among gig workers. #Zomato #ITRFiling #DeliveryPartners #GigEconomy #FinancialInclusion #TaxCompliance #StartupNews #BusinessUpdates #NewsHighlights

Kindly share your valuable insights: (GST Demand on Zomato & Swiggy)   The GST authorities have sent a demand notice to well-known food delivery platforms Zomato and Swiggy, accusing them of not remitting GST on the delivery fees amounting INR: 750 Crore. In reply to the aforementioned allegation, Zomato and Swiggy submitted a response asserting that they collect delivery fees on behalf of their business partners (Gig Workers). They further clarified that these services are rendered by their gig workers to customers, not Zomato or Swiggy. Therefore, the tax burden falls on such gig workers. However, since the annual income of a gig worker is below the Rs 20 lakh threshold they are exempted from GST. It seems that Zomato/Swiggy is asserting that they acts as a pure agent as per rule 33 of CGST Act, 2017, in case of the delivery of services. This means that they collect delivery fees on behalf of their business partners (Zomato or Swiggy riders), and the services are ultimately provided by these partners to the customers. Zomato/ Swiggy likely considers itself as facilitating the transaction rather than being the direct provider of the service. The question revolves around whether Zomato can be regarded as a pure agent when collecting delivery fees on behalf of its business partners. In my opinion Zomato should not be treated as a pure agent while collecting delivery fees on behalf of business partners due to following reasons. 1.     Explanation (C) to Rule 33 of the CGST Act, 2017 defines a pure agent as someone who does not utilize goods or services procured for their own interest. In the present scenario, delivery services are fundamental to the operational framework. Any substantial disruption in delivery operations directly impacts Zomato's operational activities. Additionally, to stimulate sales, Zomato/Swiggy frequently introduce lucrative offers, often waiving delivery fees. Considering this rationale, it is evident that Zomato/Swiggy have a vested interest in offering these delivery services. 2.     According to Explanation (D) to Rule 33 of the CGST Act, 2017, a pure agent is someone who receives only the exact amount expended to procure goods or services, in addition to the amount received for the supply provided on their own behalf In the current context, the amount collected from customers as delivery charges and the amount disbursed to Zomato riders do not always align. Zomato and Swiggy frequently waive delivery fees as a strategy to attract more customers. Moreover, these platforms offer certain membership programs where they waive all types of delivery charges for their customers. This indicates that Zomato/Swiggy are not incurring delivery charges based on actual expenses but are absorbing the costs themselves. Kindly provide additions to my opinion??????????????????? 🙂

Kindly share your valuable insights: (GST Demand on Zomato & Swiggy) The GST authorities have sent a demand notice to well-known food delivery platforms Zomato and Swiggy, accusing them of not remitting GST on the delivery fees amounting INR: 750 Crore. In reply to the aforementioned allegation, Zomato and Swiggy submitted a response asserting that they collect delivery fees on behalf of their business partners (Gig Workers). They further clarified that these services are rendered by their gig workers to customers, not Zomato or Swiggy. Therefore, the tax burden falls on such gig workers. However, since the annual income of a gig worker is below the Rs 20 lakh threshold they are exempted from GST. It seems that Zomato/Swiggy is asserting that they acts as a pure agent as per rule 33 of CGST Act, 2017, in case of the delivery of services. This means that they collect delivery fees on behalf of their business partners (Zomato or Swiggy riders), and the services are ultimately provided by these partners to the customers. Zomato/ Swiggy likely considers itself as facilitating the transaction rather than being the direct provider of the service. The question revolves around whether Zomato can be regarded as a pure agent when collecting delivery fees on behalf of its business partners. In my opinion Zomato should not be treated as a pure agent while collecting delivery fees on behalf of business partners due to following reasons. 1.     Explanation (C) to Rule 33 of the CGST Act, 2017 defines a pure agent as someone who does not utilize goods or services procured for their own interest. In the present scenario, delivery services are fundamental to the operational framework. Any substantial disruption in delivery operations directly impacts Zomato's operational activities. Additionally, to stimulate sales, Zomato/Swiggy frequently introduce lucrative offers, often waiving delivery fees. Considering this rationale, it is evident that Zomato/Swiggy have a vested interest in offering these delivery services. 2.     According to Explanation (D) to Rule 33 of the CGST Act, 2017, a pure agent is someone who receives only the exact amount expended to procure goods or services, in addition to the amount received for the supply provided on their own behalf In the current context, the amount collected from customers as delivery charges and the amount disbursed to Zomato riders do not always align. Zomato and Swiggy frequently waive delivery fees as a strategy to attract more customers. Moreover, these platforms offer certain membership programs where they waive all types of delivery charges for their customers. This indicates that Zomato/Swiggy are not incurring delivery charges based on actual expenses but are absorbing the costs themselves. Kindly provide additions to my opinion??????????????????? 🙂

Deepinder Goyal’s Zomato has revealed in its BSE exchange filing that the Gurgaon-based food delivery company received a Rs 9.45 Cr GST penalty notice from the Karnataka tax regulator on June 29. Zomato has reportedly availed excess levied money off input tax credit (ITC) and interest. The notice pertains to FY 2019-20 and is issued by the Assistant Commissioner of Commercial Taxes (Audit), Karnataka. The GST notice consists of Rs 5,01,95,462, along with interest of Rs 3,93,58,743, and a penalty of Rs 50,19,546, amounting to a total of Rs 9,45,73,751. Zomato says it will appeal the order it received on June 29 regarding "excess availment of input tax credit and interest, penalty thereon." “We believe that we have a strong case on merits and the company will be filing an appeal against the order before the appropriate authority,” said Zomato. Zomato received the order on June 29. It said that the demand order has been received in respect of “excess availment of input tax credit and interest, penalty thereon”. Zomato responded to a show cause notice, providing clarification, but the authorities did not consider it. The company believes it has a strong case and expects no financial impact. It has received multiple similar demands from GST authorities, including a demand for Rs 11.82 crore and another for Rs 23 crore. #startuppedia #zomato #deepindergoyal #gstnotice #startup #startupnews