Listed edtech agency PhysicsWallah has obtained a tax demand of Rs 263.34 crore from India’s Revenue Tax Division, in line with a regulatory submitting.

The demand follows an evaluation order dated 16 March 2026 issued underneath Part 143(3) of the Revenue-tax Act for the evaluation 12 months 2023-24. The corporate stated the tax authority has handled sure investments obtained through the interval, together with funds from SEBI-registered Class II different funding funds (AIFs), as taxable revenue.

In its submitting, PhysicsWallah stated it intends to contest the order.

“Primarily based on its preliminary evaluation, the corporate believes that it has robust authorized and factual grounds to file an attraction earlier than the suitable appellate authority,” it stated.

The corporate added that the demand discover just isn’t anticipated to have any materials affect on its monetary place, operations, or enterprise actions. It additionally famous a delay in disclosure, stating it had been evaluating the order in session with advisers earlier than informing exchanges.

PhysicsWallah, which went public in November 2025, had raised Rs 3,100 crore by means of a recent concern of shares alongside a suggestion on the market of as much as Rs 380 crore. Its co-founders, Alakh Pandey and Prateek Boob, collectively bought shares price Rs 380 crore within the providing.

Earlier than its itemizing, the corporate had raised about $310 million in non-public funding, together with a $100 million Sequence A spherical in 2022 and a $210 million Sequence B spherical in September 2024, from buyers similar to WestBridge and Lightspeed.

The tax discover comes shortly after the corporate reported development in its newest quarterly outcomes. For the third quarter of the 2025–26 monetary 12 months, web revenue rose 33% year-on-year to Rs 102.3 crore, whereas working income elevated 34% to Rs 1,082.4 crore. For the primary 9 months of FY26, PhysicsWallah’s complete paid person base rose 21% year-on-year to 4.37 million.

Past its core check preparation enterprise, PhysicsWallah has been increasing into the Ok-12 phase by means of a mixture of owned colleges, partnerships and on-line choices, because it seeks to construct a broader training platform and have interaction college students earlier of their studying journey.