**Zomato’s Parent Company Faces ₹3.69 Crore GST Penalty**
Eternal, the parent company of online food delivery service Zomato, has received a penalty notice for ₹3.69 crore related to goods and services tax (GST) after allegedly underpaying output tax for the period from April 2019 to March 2020. This information was disclosed in an exchange filing on January 6, 2026.
The notice was issued by the Additional Commissioner of State Tax (Appeals) in West Bengal, confirming the GST demand for the specified period. According to the filing, the total penalty includes ₹1,92,43,792 in GST demand, ₹1,58,12,070 in interest, and a penalty of ₹19,24,380.
Eternal has stated that it intends to appeal the GST penalty, believing it has a strong case supported by opinions from external legal and tax advisors. The company plans to file the appeal with the appropriate authority.
In terms of market performance, Eternal’s shares closed 0.79% higher at ₹280.95 following the stock market session on January 7, 2026. Since its listing on the Indian stock market, the company’s shares have increased by over 122%, providing investors with more than 11% returns over the past year. However, the shares have seen a slight decline of 1.67% over the past month and are down 0.46% in the last five trading sessions.
Eternal’s shares reached a 52-week high of ₹368.40 on October 16, 2025, while the 52-week low was recorded at ₹189.60 on April 7, 2025. As of the close of the stock market on January 7, 2026, the company’s market capitalization stood at over ₹2.71 trillion.
**FAQ**
**What is the reason for Eternal’s GST penalty?**
Eternal received a GST penalty for allegedly underpaying output tax during the period from April 2019 to March 2020, amounting to ₹3.69 crore. The company plans to appeal the decision.
