Mahindra Holidays Receives ₹363 Crore GST Notice from Tamil Nadu Tax Department

Mahindra Holidays & Resorts India Ltd has been served a tax notice by Tamil Nadu’s state tax department. The demand, issued on June 28, 2025, concerns the financial year 2018–19 and totals over ₹363 crore.

Authorities allege that the company wrongly applied IGST on club membership services, instead of splitting the tax between CGST and SGST. The notice includes ₹181.54 crore in unpaid tax and an equal amount as penalty, bringing the total demand to ₹363.08 crore.

According to the notice, the issue also relates to a sharp fall in IGST payments after the company shifted its registered office in August 2023. In response, Mahindra Holidays has said it will challenge the demand through legal channels and does not anticipate any major financial impact from the notice. The company disclosed this development via a regulatory filing on June 29, 2025.

Mahindra Holidays & Resorts India shares have gained 0.90% trading at ₹342.45 on June 30, 2025 at 1:08 PM. In the National Stock Exchange, Mahindra Holidays & Resorts India shares have dipped 5.2% in the last month, dipped 7.6% in the year-to-date, and declined 25% in the last year.

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