Byju’s US arms face Rs 250-crore GST notice
The Directorate General of GST Intelligence (DGGI) is likely to approach the National Company Law Tribunal (NCLT) soon, seeking to recover Rs 230-250 crore as taxes from the US subsidiaries of embattled edtech major Byju’s.
The tax liability has been computed on certain supplies of the US-based subsidiaries to Indian receivers.
Official sources said Byju’s had kept these transactions “off its books”, and thus didn’t pay any taxes on them to GST authorities. “The DGGI has learnt this recently, and approached the edtech company to pay their dues,” an official said.
FE reached out to Byju’s for comments, but couldn’t get any response.
Byju’s parent company ‘Think and Learn’ is undergoing insolvency proceedings in the NCLT. “We informed the insolvency professional about the taxes Byju’s owes, but our request was rejected, as we got late in filing the claim,” an official said. “But we are going to exercise all legal options to recover the tax dues,” the official said, adding that the DGGI may consider filing a plea in the NCLT.
Sources said that only those services which are provided by US subsidiaries in India fall under the ambit of GST. The services that are purely international, made by the offshore arms, don’t owe any tax to domestic authorities.
