Yes Bank, a prominent private sector lender, found itself at the center of attention as it received a tax receipt amounting to Rs 3 crore from the Tamil Nadu Goods and Services Tax (GST) department on December 31, 2023. This transaction is linked to various GST-related issues.
According to details disclosed in an exchange filing, the bank was subjected to a fine of Rs 3,01,50,149 by the GST department. Despite this significant penalty, Yes Bank has conveyed that it does not anticipate any substantial impact on its financial or operational activities resulting from the order.
In response to the tax receipt, the bank has announced its intent to pursue legal avenues to challenge the order, signaling its commitment to defending its position on the matter.
This development follows closely on the heels of two separate tax notices that Yes Bank received from the Bihar GST department in December, amounting to Rs 20,000 and Rs 1,38,584, respectively.
However, amidst these challenges, Yes Bank has some positive news to share. The private bank recently revealed that it received Rs 150 crore from a single trust in the Security Receipts Portfolio, stemming from the sale of its Non-Performing Assets (NPA) portfolio. This injection of funds adds a positive note to the bank's financial landscape.
In the stock market scenario, Yes Bank demonstrated resilience, trading 4.90% higher at Rs 22.50 on the National Stock Exchange as of 1:20 PM on Monday. Investors and stakeholders will undoubtedly be closely monitoring further developments as the bank navigates through these regulatory challenges while simultaneously making strategic financial moves to fortify its position in the market.
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