Infosys has received a communication regarding a penalty related to the alleged non-payment of GST for the stay of employees of other GSTINs in guest houses for business purposes. The total penalty amounts to INR 13,60,11,264 and pertains to the financial years 2018-19 to 2022-23. The company is currently verifying the communication to determine further steps. There is no material impact on financials, operations or other activities of the Company.
Penalty Communication Received
Infosys has received communication regarding penalties. The communication was received on November 28, 2025 at 18:10 IST from the Joint Commissioner of CGST.
Details of the Penalty
The communication concerns a demand issued for alleged non-payment of GST related to the stay of employees of other GSTINs (distinct persons) in guest houses used for business purposes. This covers the financial years FY 2018-19 through FY 2022-23.
Financial Impact
The total penalty amount is INR 13,60,11,264. Infosys has stated that there is no material impact on the company’s financials, operations or other activities.
Next Steps
The company is in the process of checking the veracity and determining further steps following the receipt of the communication.
Source: BSE