IndiGo Gets ₹58.75 Crore GST Penalty from Delhi Commissioner Amid Operational Challenges
IndiGo has been hit with a Rs. 58.75 crore GST penalty from the Delhi tax authority. The company says it will contest the tax order and sees no material impact on operations.
IndiGo Gets ₹58.75 Crore GST Penalty from Delhi Commissioner Amid Operational Challenges
IndiGo has received a goods and services taxdemand and penalty of Rs. 58.75 crore from the Additional Commissioner of Central GST, Delhi South Commissionerate for the financial year 2020-21.
According to the disclosure, the order was communicated to the company on December 11. While the exact details of the alleged violations have not been set out in the disclosure, the company stated that the tax authorities believe there has been a contravention under GST lawfor the said financial year.
IndiGo has taken advice from external tax experts and said it has a strong case that will be pursued through legal channels. The company added that it will challenge the penalty before the appellate authority and continues to engage with its advisors to prepare the contesting strategy.
The disclosure comes at a time when IndiGo has been facing substantial operational disruptions that have drawn public and regulatory attention. In December 2025, the airline experienced one of the most severe breakdowns of flight operations in its history, affecting major airports including Delhi, Mumbai, Bengaluru, Hyderabad and Chennai, after changes to crew duty and rest regulations were fully implemented.
These disruptions led to the cancellation and delay of hundreds to thousands of flights, leaving many passengers stranded and triggering widespread criticism of the airline’s planning and scheduling processes.
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Government regulators, including the Directorate General of Civil Aviation, have been closely monitoring the situation and have taken steps to inspect the airline’s operations and review its compliance with aviation norms.
About Company
InterGlobe Aviation Limited, which operates under the brand name IndiGo, is known for its extensive domestic and international network and a business model focused on high aircraft utilisation and low operating costs. Despite facing recent challenges, the airline remains a dominant player in India’s aviation sector, boasting a large fleet and a leading share of passenger traffic.
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