Date: October 13, 2026

Regulatory Disclosure Summary

GST Demand Order Details

FGTPL received a demand order from the Additional Commissioner of CGST Noida, Uttar Pradesh on October 12, 2026, at 7:37 PM IST.

The order was issued under Section 74(9) of the Central Goods and Services Tax Act, 2017 and corresponding provisions under the Uttar Pradesh Goods and Services Tax Act, 2017 read with Section 20 of the Integrated Goods and Services Tax Act, 2017.

This order pertains to a Show Cause Notice (SCN) originally issued to FGTPL by the GST department on April 28, 2025, which proposed a GST liability of ₹5,712 crores for the period from April 2018 to March 2023.

The demand order has significantly reduced the proposed GST liability from ₹5,712 crores to ₹703.66 crores (Indian Rupees Seven Hundred Three Crore and Sixty Six Lakh) for the tax period from April 2018 to March 2023.

The order also includes an applicable penalty equivalent to the tax liability (₹703.66 crores) along with applicable interest.

Company's Response and Financial Impact

FGTPL is evaluating the appropriate course forward in accordance with relevant statutory provisions.

The Company states there is no incremental financial impact on it arising from this order.

For group consolidation purposes under applicable accounting standards, FGTPL is considered a joint venture. Its revenues are not consolidated in the Company's financial statements.

The Company's share of profit or loss under the equity method is nil in its consolidated profit and loss account for the financial year ended March 31, 2026.

The carrying value of the investment in FGTPL in the consolidated financial statements of the Company as on March 31, 2026, is already nil.

FGTPL discontinued its real-money gaming operations pursuant to the Promotion and Regulation of Online Gaming Act, 2025, and its financial statements for the year ended March 31, 2026, were prepared on a liquidation basis.

Background Context

The disclosure references a previous disclosure made on May 27, 2026, and the decision of the Hon'ble Supreme Court of India upholding 28% GST on online gaming companies.

Compliance and Certification

The information provided in the accompanying Form A is stated to be true, correct, and complete to the best of the knowledge and belief of the undersigned, in compliance with Regulation 30(13) of the SEBI Listing Regulations.

This disclosure is also hosted on the Company's website at https://ir.paytm.com/.