India, Dec. 20 -- Hyperlocal services unicorn Urban Company has received a tax demand and penalty notice totalling INR 56.4 Cr from Maharashtra goods and service tax (GST) authorities.

In a filing with the exchanges, the company said that total amount includes a principal tax of INR 51.3 Cr and a penalty of INR 5.13 Cr.

The office of the joint commissioner of central GST and central excise, Thane, confirmed the notice for the period between April 2021 and March 2025. The case pertains to alleged non-payment of GST by the company on payouts made to service professionals.

Urban Company claims that it has been levying GST at 5% on payments made to professionals only providing services such as plumbing, carpentry and cleaning. In effect, t...