Pendency of Litigation(s)/dispute(s) or the outcome impacting the Company

October 13, 2026 To To Listing Department Listing Department BSE Limited, National Stock Exchange of India Limited, Phiroze Jeejeebhoy Towers, Exchange Plaza, 5th Floor, Dalal Street, Fort, Plot no. C/1, G Block, Mumbai - 400 001 Bandra Kurla Complex, Bandra(E), Mumbai - 400 051 Scrip Code: 539658 Scrip Code: TEAMLEASE Dear Sir/Ma’am, Sub: TeamLease Services Limited (“TeamLease”/“Company”) – Receipt of Show Cause Notice from the Department of Commercial Taxes, Government of Karnataka under Section 73(1) of the Karnataka Goods and Services Tax Act, 2017 (“KGST Act”) and the Central Goods and Services Tax Act, 2017 (“CGST Act”) for FY 2022-23 Ref: Disclosure under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 With reference to the above-mentioned subject and pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with Clause 8 of Para B of Part A of Schedule III, we wish to inform you that the Company has received a Show Cause Notice (“SCN”) from the Deputy Commissioner of Commercial Taxes (Large Taxpayers Unit)-03, Bengaluru, Department of Commercial Taxes, Government of Karnataka under Section 73(1) of the KGST Act and CGST Act, for the period April 2022 to March 2023, on September 29, 2026. Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026, the requisite details are enclosed as Annexure A. There has been a delay of 13 days in submission of this intimation due to an inadvertent gap in internal communication between the Company’s indirect tax and secretarial functions, as a result of which the notice was not escalated to the secretarial function within the prescribed timeline. The Company has since strengthened its internal reporting process to prevent recurrence. Kindly take the above information on record as per the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and oblige. Thanking you. Yours faithfully, TeamLease Services Limited, CIN: L74140KA2000PLC118395 Registered Office: Infinix Square, B-4, B-5, B-6, HAL Industrial Estate, HAL GB Quarters, Vibhutipura, Bengaluru, Karnataka – 560037 Ph: (91-80) 6824 3333 Fax: (91-80) 6824 3001 Email ID: corporateaffairs@teamlease.com Website: https://group.teamlease.com Business Portal: https://www.teamlease.com For TeamLease Services Limited Alaka Chanda Company Secretary and Compliance Officer Enclosed: As above TeamLease Services Limited, CIN: L74140KA2000PLC118395 Registered Office: Infinix Square, B-4, B-5, B-6, HAL Industrial Estate, HAL GB Quarters, Vibhutipura, Bengaluru, Karnataka – 560037 Ph: (91-80) 6824 3333 Fax: (91-80) 6824 3001 Email ID: corporateaffairs@teamlease.com Website: https://group.teamlease.com Business Portal: https://www.teamlease.com Annexure A Details under Regulation 30 of the SEBI LODR Regulations, 2015 read along with SEBI Master Circular HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026 SL. PARTICULARS DETAILS 1 Type of Show Cause Notice dated September 29, 2026 under Section 73(1) communication of the KGST Act and CGST Act (Assignment No. JCCT(A)/LTU/JDN/64/2026-27 dated July 31, 2026) for the period received April 2022 to March 2023 (FY 2022-23), GSTIN 29AABCT5458K1ZT 2 Date of receipt of September 29, 2026 communication 3 Name of the Deputy Commissioner of Commercial Taxes, (Large Taxpayers Unit)- authority 03, Bengaluru, Department of Commercial Taxes, Government of Karnataka TeamLease Services Limited, CIN: L74140KA2000PLC118395 Registered Office: Infinix Square, B-4, B-5, B-6, HAL Industrial Estate, HAL GB Quarters, Vibhutipura, Bengaluru, Karnataka – 560037 Ph: (91-80) 6824 3333 Fax: (91-80) 6824 3001 Email ID: corporateaffairs@teamlease.com Website: https://group.teamlease.com Business Portal: https://www.teamlease.com 4 Brief details of Of the nine issues raised in the intimation issued in Form GST DRC- dispute 01A, seven were dropped by the proper officer based on the Company’s submissions. The SCN pertains to the remaining two issues, the details of which are as below: as Particulars Tax in INR Allegation The SCN has Adjustments in proposed tax at 18% turnover for on the entire amount reasons not of INR 42,47,67,225 listed, reported reported under Table 8 7,64,58,100 under Table 5O 5O of GSTR-9C, on of GSTR-9C, the ground that no amounting to reply was submitted INR 42,47,67,225 by the Company in respect of this item. Alleged under- Under-reporting of reporting of exempt supplies: Exempted/Nil- 9 21,27,31,466 rated/Non-GST The SCN has outward proposed tax at 18% supplies, being on the differential TeamLease Services Limited, CIN: L74140KA2000PLC118395 Registered Office: Infinix Square, B-4, B-5, B-6, HAL Industrial Estate, HAL GB Quarters, Vibhutipura, Bengaluru, Karnataka – 560037 Ph: (91-80) 6824 3333 Fax: (91-80) 6824 3001 Email ID: corporateaffairs@teamlease.com Website: https://group.teamlease.com Business Portal: https://www.teamlease.com the difference amount of INR between the 81,86,92,852 on value reported in account of the GSTR-3B (INR difference between 18,15,74,312) the amounts and in Table 7(b) reported in GSTR- of GSTR-9C (INR 1/3B/9 and GSTR-9C. 1,00,02,67,164), amounting to Tax on exempt INR 81,86,92,852 supplies: In addition, the SCN has proposed tax on the entire exempt supply of INR 18,15,74,312 in the absence of documentary evidence substantiating the exemption, computed at 18% each under CGST and SGST. Total 28,91,89,566 Note: In the Company’s view, the tax on the exempt supplies of INR 18,15,74,312 under Sl. No. 9 has been computed at 18% each under CGST and SGST instead of 9% each, resulting in the tax demand being overstated by INR 3,26,83,376. TeamLease Services Limited, CIN: L74140KA2000PLC118395 Registered Office: Infinix Square, B-4, B-5, B-6, HAL Industrial Estate, HAL GB Quarters, Vibhutipura, Bengaluru, Karnataka – 560037 Ph: (91-80) 6824 3333 Fax: (91-80) 6824 3001 Email ID: corporateaffairs@teamlease.com Website: https://group.teamlease.com Business Portal: https://www.teamlease.com 5 Expected financial The quantum implication as per the notice is INR 52,76,08,537 implications, if (Rupees Fifty-Two Crores Seventy-Six Lakhs Eight Thousand Five any, due to Hundred and Thirty-Seven Only), comprising tax of INR 28,91,89,566, compensation, interest of INR 20,95,00,014 and penalty of INR 2,89,18,957. Interest penalty, etc. has been computed by the Department up to the date of the notice and is subject to change. The Company is evaluating the notice and will file its reply within the prescribed time. 6 Quantum of INR 52,76,08,537 Claims, if any. The Company is currently evaluating the notice and will file its reply in Form GST DRC-06 within the prescribed timeline, i.e., on or before October 29, 2026. We remain committed to ensuring full compliance with applicable laws and regulatory requirements and will keep the stock exchanges duly informed of any material developments in this matter. ***************************** TeamLease Services Limited, CIN: L74140KA2000PLC118395 Registered Office: Infinix Square, B-4, B-5, B-6, HAL Industrial Estate, HAL GB Quarters, Vibhutipura, Bengaluru, Karnataka – 560037 Ph: (91-80) 6824 3333 Fax: (91-80) 6824 3001 Email ID: corporateaffairs@teamlease.com Website: https://group.teamlease.com Business Portal: https://www.teamlease.com