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Infosys Share Price in Focus; Gets GST Demand of ₹13.60 Crore

Written by: Team Angel OneUpdated on: 2 Dec 2025, 5:37 pm IST
Infosys has been issued a ₹13.60 crore tax penalty for alleged GST lapses on multi-year employee guesthouse stays, as per the reports.
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Infosys has been issued an order by the Joint Commissioner of CGST, imposing a ₹13.60 crore (₹13,60,11,264) penalty. As per the exchange filings, the company received the communication on November 28, 2025.  

The order points to questions around how the company handled GST on guesthouse stays used for official work by employees registered under different GST numbers within the organisation.  

Alleged GST Lapse Across Multiple Years 

The penalty is linked to an alleged non-payment of GST on accommodation provided to employees from other GSTINs, considered “distinct persons” under GST rules. These stays covered a five-year period from FY 2018-19 to FY 2022-23.  

The authority’s position is that such stays should have attracted GST, even though they were used for business purposes.  

Timeline and Nature of the Action 

The order has been recorded as “orders passed/action taken,” with the total penalty amount specified down to the rupee. The action concerns a specific internal business practice that continued over multiple assessment years.  

The company received the demand at a fixed date and time, which has been formally noted as part of the communication. 

Infosys’s Statement  

Infosys has said the penalty does not have a material impact on its financials or business activities. The company has stated that regular operations, ongoing projects, and financial planning remain unaffected.  

The penalty, while substantial in amount, has not been classified as something that alters the company’s broader financial situation.  

Read More: HUL Ice Cream Business Demerger: Check Impact on Your Holdings and F&O Position! 

Infosys Share Price Performance  

As of December 02, 2025, 9:16 am, Infosys share price was trading at ₹1,567, a 0.19% increase from the previous closing price. 

Conclusion 

The penalty arises from how GST rules apply to internal employee stays over multiple years. While the amount has been clearly stated by the authority, Infosys has indicated that the order does not affect its financial or operational standing at this stage. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Dec 2, 2025, 12:07 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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