GST Authority slaps Rs 15 crore notice on Go Digit General Insurance

Insurtech firm Go Digit General Insurance has received a demand-cum-show cause notice from the Goods and Services Tax (GST) Authority, raising a claim of nearly Rs 15 crore in unpaid taxes along with applicable interest and penalties.

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In a stock exchange filing on Wednesday, the Fairfax-backed insurer said the Office of the Commissioner, CGST Audit-I, New Delhi, issued the notice on September 22 under provisions of the Central GST Act, the Delhi GST Act, and the Integrated GST Act. The total demand cited amounts to Rs 14.99 crore, with a potential penalty of up to 25% of the disputed amount.

Go Digit said it intends to contest the claim and will file a detailed reply with the GST Authority within the prescribed timelines, supported by evidence to substantiate its tax position. The company added that the notice has no immediate impact on its financials, operations, or other activities.

This development follows a separate case earlier this year, when the Bombay High Court set aside a Rs 170 crore tax demand raised by the Chennai South Commissionerate of GST & Central Excise against the insurer. That demand, for the period July 2017 to March 2022, comprised Rs 154.8 crore in taxes and Rs 15.48 crore in penalty.

Go Digit, founded by Kamesh Goyal and backed by Prem Watsa’s Fairfax Group, went public in May 2024. For the quarter ended June 30, 2025, it reported a net profit of Rs 138.3 crore, up from Rs 101.3 crore a year earlier, while income rose 4% to Rs 2,179.4 crore.