Urban Company Faces Rs. 8.7 Cr GST Demand for GSTR-1 and GSTR-3B mismatch:

Urban Company Faces Rs. 8.7 Cr GST Demand for GSTR-1 and GSTR-3B mismatch Urban Company Limited, a well-known online platform that provides home services such as cleaning, beauty, repairs, and maintenance, recently disclosed to NSE Ltd. and BSE Ltd. regarding receipt of a show cause notice.

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Background

The company received an SCN from a tax officer asking why there is a mismatch between the turnover it reported in GSTR1 and GSTR 3B and why it may have claimed extra input tax credit. The tax department is demanding about Rs  8,70,03,806 (including interest and penalties) for the period April 2022 to March 2023.

Company's response

The company stated that it has already paid all the taxes correctly and claimed input tax credit as per the law. It argues that the tax officer incorrectly considered the turnover under section 9(5) of the CGST Act as its own revenue, which led to the mismatch.

Company's further step

The company stated that it is confident that it has a strong legal case and will reply to the tax notice within the given deadline.

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Key Details

Particular	Details
Company	Urban Company Limited
Issuing Authority	Commercial Tax Officer, Guindy, South-II, Chennai South, Tamil Nadu
Demand	Rs  8,70,03,806
Order	Show Cause Notice under Section 73 of SGST Act, 2017
Receipt of demand	May 04, 2026
Financial Impact	NIL

Company's disclosure

The company made the above disclosure under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.