Yes Bank Hit with ₹3.30 Crore GST Penalty by Uttar Pradesh Tax Department

Yes Bank has been imposed a penalty of ₹3.30 crore by the Uttar Pradesh Goods and Services Tax department, according to a regulatory filing by the private sector lender. The penalty order, dated December 24, relates to financial year 2021-22 and comes in addition to tax demands and applicable interest.

Penalty Details and Legal Framework

The GST penalty was imposed under the provisions of Section 73 of both the Central Goods and Services Tax Act, 2017 and the Uttar Pradesh Goods and Services Tax Act, 2017. The following table summarizes the key details of the penalty:

Parameter:	Details
Penalty Amount:	₹3.30 crore
Order Date:	December 24
Applicable Period:	Financial Year 2021-22
Legal Provisions:	Section 73 of Central GST Act, 2017 and UP GST Act, 2017
Additional Components:	Tax demands and applicable interest

The GST department raised demands on various issues, though the bank's regulatory filing did not disclose specific details of the alleged violations that led to the penalty imposition.

Bank's Response and Legal Strategy

Yes Bank has informed stock exchanges of its intention to contest the penalty order through an appeal within the prescribed timelines. The bank expressed confidence in its legal position, stating it has "adequate factual and legal grounds to reasonably substantiate its position."

The lender does not anticipate any material impact on its financial, operational, or other activities due to this order at the current juncture. This suggests the bank views the penalty as manageable within its current operational framework.

Market Performance

Yes Bank shares were trading flat at ₹21.66 on the NSE at 10:30 am, indicating that the market reaction to the penalty announcement was muted. The stable share price suggests investors may be viewing this as a routine regulatory matter rather than a significant operational concern.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.51%	-0.92%	-6.28%	+5.65%	+9.70%	+20.39%

Yes Bank has received improved Environmental, Social, and Governance (ESG) ratings from NSE Sustainability Ratings Analytics Ltd, a SEBI-registered ESG Rating Provider. The bank disclosed this development under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

ESG Rating Details

NSE Sustainability Ratings Analytics Ltd communicated the rating assignment to Yes Bank via email on December 15, 2025. The rating assessment covers the bank's performance across environmental, social, and governance parameters for the financial years 2024 and 2025.

Rating Category	FY25	FY24 (Updated)	Previous FY24
ESG Rating	78.00	76.00	72.00
Core Rating	74.00	-	-

NSE Sustainability Ratings Analytics assigned Yes Bank an ESG rating of 78.00 and core rating of 74.00 for FY25, while upgrading its FY24 ESG rating from 72.00 to 76.00.

Independent Assessment Process

The bank clarified that it has not engaged NSE Sustainability for ESG ratings services. The ESG Rating Provider independently assigned these ratings based on Yes Bank's public disclosures pertaining to financial years 2024 and 2025. This independent assessment approach aims to ensure objectivity in the rating process.

Regulatory Compliance

Yes Bank has fulfilled its disclosure obligations by informing both the National Stock Exchange of India Limited and BSE Limited about the ESG rating assignment.

Information Accessibility

The bank has made the ESG rating information accessible to stakeholders by hosting the relevant web links from both stock exchanges on its official website at www.yes.bank.in . This step aims to ensure transparency and compliance with SEBI's listing regulations as amended from time to time.