Flipkart again in controversy; pays Rs 23.51 Cr as penalty for not depositing taxes

E-commerce company Flipkart has again created headlines by incurring the wrath of the IT department, for irregularities in its operations. The online marketplace has been imposed a penalty to the tune of Rs 23.51 crore, reports Business Insider.

According to the report, a raid was carried out at the Dasna (Ghaziabad) located warehouse belonging to the company by tax departments from Noida and Ghaziabad jointly.

An Income Tax officer at Ghaziabad has confirmed to Business Insider that while the leading Indian online retailer made it obligatory for its buyers to deposit taxes, it did not proceed on and deposit the amounts thus collected with the said department.

Flipkart-again-in-controversy-pays-Rs-23-Cr-as-penalty-for-not-depositing-taxes

“The said irregularity in the taxes was found after the books of the firm were seized. The company had earlier paid Rs 29 lakhs as penalty,” the unidentified official was quoted in Business Insider as saying. The official also added that the sleuths had, during the course of their raid, also come across names of listed partners which did not actually exist.

According to the report, a large number of listed trading partners of the largest e-tailer are bogus firms which exist only on paper.

A Flipkart spokesperson told Business Insider, “At Flipkart, it is our endeavor to be transparent in all our dealings with authorities. We are compliant with the laws of the land and will extend full support to the authorities and address any concerns they have.”


Related Tags:,

Hottest ProductsMore