Worth commerce platform Meesho Restricted has mentioned it is going to problem a tax demand of about Rs 14.29 crore after an appellate authority upheld the declare referring to its reseller mannequin.

It had obtained an Order-in-Enchantment from the Commissioner (Appeals) of the CGST Thane Commissionerate on 28 April, dated 24 April 2026. The order considerations the applicability of Tax Collected at Supply (TCS) underneath Part 52 of the Central Items and Companies Tax Act, 2017, for transactions between resellers and finish prospects between October 2018 and March 2020, the corporate mentioned.

The appellate authority upheld the tax demand, together with relevant curiosity and penalties underneath Part 74 of the Act, however put aside a separate penalty imposed underneath Part 122.

The case pertains to Meesho’s reseller mannequin, by which people share merchandise from the platform with prospects by way of social media and facilitate gross sales to finish prospects. The order alleges that the corporate failed to gather TCS on sure transactions carried out exterior its platform, in keeping with the submitting.

“The matter is in relation to the corporate’s reseller mannequin, underneath which particular person resellers share merchandise from the Meesho platform with their very own prospects by way of social media,” the submitting mentioned.

“Based mostly on the corporate’s detailed evaluation, unbiased skilled recommendation and authorized place, the corporate is firmly of the view that the demand raised underneath the mentioned order is unsustainable and with out advantage,” Meesho mentioned.

It’s “extremely assured of a beneficial end result” and plans to enchantment earlier than the Items and Companies Tax Appellate Tribunal inside the prescribed timeline, Meesho added.

It additionally mentioned the order would haven’t any materials hostile affect on its monetary place, operations, or enterprise actions.

The event follows a separate income-tax dispute disclosed in March, when Meesho received a demand of about Rs 1,499.74 crore for Evaluation 12 months 2023-24, after the tax division made changes to the corporate’s reported revenue. The corporate mentioned on the time that it was evaluating the discover and didn’t count on a big monetary affect.

Latest monetary outcomes confirmed Meesho’s net loss widening to about Rs 491 crore for the October-December quarter, whereas working income rose about 31-32% year-on-year to round Rs 3,518 crore.