Urban Company Limited (formerly UrbanClap) has received a GST demand of over ₹56 crore, according to a regulatory filing made by the company to the stock exchanges today. Urban Company has been discharging GST at a rate of 5% for payments made to professionals providing plumbing, carpentry, electrician, and cleaning services, classifying these under housekeeping services. However, the GST authority has taken a broader view, ruling that the scope of housekeeping services also extends to appliance repair, appliance servicing and painting services. Urban Company has expressed its intention to challenge the order, stating they believe they have a strong case on merits backed by advice from external legal and tax experts. The e-commerce operator (in this case Urban Company) is liable to collect a 5% on behalf of the consumers and deposit it to the government.

Source: Indian Express December 21, 2025 12:59 UTC