Indian Tax Authorities Demand $101 Million from Byju’s Amid Insolvency Proceedings

Indian tax officials are seeking $101 million from Byju’s, an education-technology company now facing insolvency. Once valued at $22 billion in 2022, Byju’s, supported by General Atlantic, has encountered significant financial troubles due to regulatory challenges and a dispute with U.S. lenders demanding $1 billion in unpaid debts.

Currently managed by court-appointed resolution professional Pankaj Srivastava, Byju’s is inviting claims from lenders, employees, vendors, and government entities for outstanding dues. The Indian Department of Revenue has filed a claim for $18.7 million, while the Karnataka state tax department seeks $82.3 million. These figures, disclosed in documents on the Insolvency and Bankruptcy Board of India’s website, reflect the substantial statutory dues owed to New Delhi.

The tax claims highlight ongoing issues within the company, including delayed or missed salary payments and tax contributions for employees. With over $1.5 billion in claims from 1,887 creditors filed so far, the insolvency could become one of the most significant disruptions in India’s startup sector, affecting thousands of employees who face uncertainty about recovering their dues and securing their careers. Byju’s operates in over 21 countries and has around 27,000 employees, including 16,000 teachers.