E-commerce market Meesho has acquired an earnings tax demand of practically ₹1,500 crore for the evaluation yr 2023–24, the corporate mentioned in a inventory trade submitting on March 7, including that it’ll problem the order via authorized treatments.
In line with the trade disclosure, the demand was raised via an evaluation order issued beneath Part 143(3) of the Earnings Tax Act, together with a requirement discover beneath Part 156. The entire demand quantities to ₹1,499.73 crore, together with curiosity, as per the submitting.
The corporate mentioned it disagrees with the observations made by the tax authorities and believes the changes within the evaluation order should not justified.
“Meesho doesn’t concur with the observations and changes made within the evaluation order. The corporate believes that it has satisfactory authorized and factual grounds to contest the demand and is taking mandatory steps to guard its pursuits,” the submitting acknowledged.
The corporate additionally clarified that the tax demand isn’t anticipated to have any materials antagonistic influence on its monetary place, operations, or enterprise actions at this stage.
Earlier tax dispute nonetheless pending
This isn’t the primary time the corporate has confronted such a tax declare. Meesho mentioned the same demand for the evaluation yr 2022–23 had been issued earlier and was disclosed in its prospectus.
That matter is presently pending earlier than the Karnataka Excessive Court docket, which had granted an interim keep on the demand discover on April 17, 2025, the corporate mentioned.
Discover comes after weak quarterly outcomes
The most recent tax demand comes shortly after Meesho reported a pointy improve in losses for the December quarter, whilst income and order volumes continued to develop.
For the third quarter, the corporate’s web loss widened practically 12 occasions year-on-year to ₹491 crore, in contrast with ₹37.4 crore in the identical interval final yr. Income through the quarter rose 32% to ₹3,517.6 crore, however bills elevated at a quicker tempo, resulting in larger losses.
Regardless of the losses, Meesho reported robust person exercise. Orders grew 36% year-on-year to 690 million, whereas the variety of annual transacting customers elevated 34% to 251 million.
Based in 2015 by Vidit Aatrey and Sanjeev Barnwal, Meesho operates a market centered on value-driven commerce and small sellers, with a big share of its customers coming from Tier-II and smaller cities.
The corporate mentioned it should proceed to pursue authorized choices towards the tax demand whereas sustaining regular enterprise operations.
