**Swiggy Faces ₹7.59 Crore Tax Demand from Maharashtra Government**
Online food delivery and quick commerce platform Swiggy Limited has announced that it has received a tax demand of ₹7.59 crore from the Maharashtra government due to alleged violations related to professional tax deductions. This information was disclosed in an exchange filing on April 5, 2025.
The Pune Office of the Profession Tax Officer has issued the tax demand, which pertains to the assessment period from April 1, 2021, to March 31, 2022. Swiggy stated, “On April 4, 2025, the Company received an assessment order for the amount of ₹7,59,86,813.” The professional tax authority claims that Swiggy did not comply with the provisions for deducting ‘Profession Tax’ from employee salaries as mandated by the Maharashtra State Tax on Professions, Trades, Callings & Employments Act, 1975.
In response to the tax demand, Swiggy plans to appeal, asserting that it has strong arguments against the order. The company believes that this situation will not have a significant financial impact on its operations. “The Company believes that it has strong arguments against the Order and is taking necessary steps to protect its interest through review/appeal,” Swiggy stated.
Following the announcement, Swiggy’s shares closed down 2.32% at ₹337.20, a decline from ₹345.20 in the previous trading session. Since its listing on the Indian stock market in November 2024, Swiggy’s stock has experienced a 21.55% drop. Year-to-date, the food delivery stock has decreased by 37.80% in 2025, although it has seen a slight recovery of 1.77% over the last five trading sessions.
Swiggy’s shares reached an all-time high of ₹617 on December 23, 2024, and hit a lifetime low of ₹312.80 on March 27, 2025. Currently, the shares are trading above their all-time low levels, with the company’s market capitalization standing at ₹77,100.14 crore as of the last market close.
**FAQ**
**What is the reason behind Swiggy’s tax demand from the Maharashtra government?**
Swiggy has received a tax demand of ₹7.59 crore for allegedly violating professional tax deduction provisions applicable to employee salaries under Maharashtra’s tax laws. The company plans to appeal against this demand, believing it has strong arguments in its favor.
