TEAMLEASETeamLease Services Ltd.
TeamLease Services faces ₹52.76 crore GST demand; reply due 24 Nov 2026
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Reviewed byKeshav SehgalBlacklitt Research
TeamLease Services (NSE: TEAMLEASE) has received a show cause notice with a total quantum of ₹52.76 crore, and it said in a filing on 05 Nov 2026 that the reply deadline has been extended to 24 Nov 2026. The notice covers FY 2022-23 and comprises tax, interest and penalty, with the matter still at the notice stage.
Key highlights
- Total quantum in notice: ₹52.76 crore
- Tax demanded: ₹28.92 crore
- Interest demanded: ₹20.95 crore
- Penalty demanded: ₹2.89 crore
- Reply due: 24 Nov 2026
The show cause notice in numbers
| Item | Detail |
|---|---|
| Issuing authority | Deputy Commissioner of Commercial Taxes (Large Taxpayers Unit)-03, Bengaluru, Government of Karnataka |
| Notice date | 29 Sep 2026 |
| Period | April 2022 to March 2023 (FY 2022-23) |
| Total quantum | ₹52.76 crore |
| Tax | ₹28.92 crore |
| Interest | ₹20.95 crore, computed up to the date of the notice and subject to change |
| Penalty | ₹2.89 crore |
| Reply deadline | 24 Nov 2026 |
Seven of nine issues dropped, two remain
Of the nine issues raised in the earlier intimation under Form GST DRC-01A, seven were dropped by the proper officer based on the company's submissions. The notice pertains to the remaining two issues.
Issue 8 concerns adjustments in turnover of ₹42.48 crore reported under Table 5O of GSTR-9C, with tax of ₹7.65 crore proposed at 18% on the ground that no reply was submitted on this item.
The company's view on the exempt supply tax
The company says the tax on the exempt supplies of ₹18.16 crore was computed at 18% each under CGST and SGST instead of 9% each, which it says overstates the tax demand by ₹3.27 crore.
The notice has not been replied to yet. The company says it is evaluating the notice and will file its reply in Form GST DRC-06 on or before 24 Nov 2026.
Extension and timing of the filings
The company says representatives met the concerned officer on 29 Oct 2026 and obtained approval for an extension, which it applied for through the GST portal the same day. The company has been allowed an extension up to 24 Nov 2026.
The company says it has strengthened its internal reporting process.
What the GST notice means for TeamLease Services' shareholders
The notice sets a total quantum of ₹52.76 crore, against a company whose market value was ₹1,828 crore at the 05 Nov 2026 close. The company says it will keep the exchanges informed of material developments.
Not stated: the outcome of the proceeding, the amount the company may ultimately pay, and whether any provision has been made for the notice. The next dated step is the reply due on 24 Nov 2026.
Filed with NSE on . Reference: Original filing (PDF)
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