– Karnataka State authorities withdrew a pre-show cause notice for payment of Rs 32,403 crore GST from Infosys Ltd
– The notice pertained to GST demand for the period July 2017 to March 2022 towards expenses incurred by Infosys’ overseas branch offices
– Directorate General of GST Intelligence alleges Infosys did not pay IGST on import of services as a recipient of services
– Infosys believes GST was not applicable on such expenses and is fully in compliance with regulations
– Rs 32,403 crore tax demand is more than a year’s profit for Infosys
– Infosys reported a profit of Rs 26,233 crore in FY24
– Infosys directed to submit further response to DGGI central authority on the matter