Go Digit, a prominent player in the insurtech sector, has been issued a tax demand totaling ₹384.4 crore by the Income Tax department for the assessment year 2023-24. This amount includes ₹100.4 crore in interest.
The tax demand arises mainly due to disallowances linked to industry-wide issues. In response, Go Digit intends to appeal to the Appellate authorities and explore other legal avenues.
“The company will also assess the need for appropriate disclosures in its financial statements,” a representative stated.
This news follows a recent GST demand notice of approximately ₹170 crore concerning alleged tax shortfalls over nearly five years.
Earlier this month, Go Digit received an order from the Office of the Commissioner of GST & Central Excise in Chennai, reaffirming a GST demand of ₹154.80 crore, alongside a penalty of ₹15.48 crore and applicable interest under the CGST Act. This demand relates to the period from July 2017 to March 2022, focusing on alleged non-payment of GST on co-insurance premiums and reinsurance commissions.
In July 2025, a Bombay High Court ruling had overturned an earlier demand, instructing the tax authority to reassess the case in light of GST Council decisions and related circulars.
Go Digit has indicated that this issue is not unique to them and is currently considering legal options, including a potential appeal or writ petition against the recent order.
On a financial note, Go Digit reported a net profit increase of 18% to ₹140 crore in Q3 FY26, up from ₹118.5 crore. The company's gross written premium rose by 9% year-on-year to ₹2,909.2 crore, while net premium written saw a 4% decline to ₹2,148.2 crore. Net premium earned stood at ₹2,160.1 crore, marking a 4% year-on-year increase.
In Q3 FY26, Go Digit's total income reached ₹2,497.7 crore, reflecting a 5% year-on-year growth. Total expenses also increased by 3% year-on-year to ₹2,386.1 crore.
Go Digit's shares saw a slight increase of 0.88%, closing at ₹325 on the BSE during Wednesday's trading session, with stock exchanges closed on Thursday for Ram Navami.
