Food delivery giant Zomato, led by Deepinder Goyal, has launched a new initiative to help its delivery partners claim refunds on tax deducted at source (TDS). This move allows delivery partners to file an Income Tax Return (ITR) and reclaim the TDS amount deducted from their payouts.
Filing Income Tax Returns
According to Zomato’s co-founder and CEO, Deepinder Goyal, more than 1 lakh delivery partners have already initiated their ITR filing within 48 hours of the feature going live on the Zomato Delivery Partner app. This initiative marks a significant step towards financial empowerment for the delivery partners.
Expected TDS Refunds
Zomato expects its delivery partners to receive a total tax refund of over Rs 40 crore. The company paid more than Rs 4,000 crore to its delivery partners last year, with 1% deducted as TDS, which amounts to approximately Rs 40 crore. Most delivery partners have incomes below the taxable limit, making them eligible for a full refund of the deducted TDS.
Financial Benefits
This initiative is especially beneficial for many delivery partners who are filing taxes for the first time. By filing ITR, delivery partners can gain access to structured credit, qualify for educational scholarships for their children, and benefit from various other financial services. This move not only provides immediate financial relief but also opens doors to long-term financial benefits and stability.
Impact on Delivery Partners
The TDS refund initiative by Zomato is a significant step towards supporting its delivery partners. It ensures that they are not financially burdened by taxes on incomes that fall below the taxable limit. This initiative demonstrates Zomato’s commitment to the well-being and financial security of its delivery partners.
Zomato’s TDS refund initiative is a groundbreaking step that enables delivery partners to claim back taxes deducted from their payouts. With over 1 lakh delivery partners already filing their ITRs and an expected refund of Rs 40 crore, this initiative will provide substantial financial relief and benefits. This move highlights Zomato’s dedication to supporting its delivery partners and promoting their financial well-being.
