Picture this. You set up shop and toil for years to gain a customer base. You’ve pumped in millions of dollars of capital to compete with players both domestic and foreign. It’s been years, and your efforts are paying off. You have millions of customers but have posted losses year after year. Then, one day, you get a notice from the tax officials. It not only claims that you are you profitable, but that you owe close to Rs 140 crore ($20.4 million) in taxes. This isn’t some random hypothetical scenario. It’s what happened to Flipkart on 22 December 2017.


Vivek Ananth

After dabbling with an auditing job and then at a software product company, Vivek Ananth has decided to take the plunge into journalism. In his last assignment, Vivek was at Cogencis, a financial newswire. A Chartered Accountant, Vivek completed his post-graduate diploma in journalism from IIJNM Bengaluru in 2016. At The Ken, Vivek will write on the intersection of technology and business.

View Full Profile

Sign up to our India edition to read this story instantly

To sign up, you’ll create an account that will give you access to a new free story published once a week and archive of 214+ previously published free stories from our India edition. You’ll also receive one email every morning from us introducing the day’s story.

If you’ve already signed up, just enter your email below or login using Facebook or Google.