GST Registration Number Mandatory For Sellers Registered on Amazon India

The Finance Ministry recently notified Tax Collection at Source (TCS) at the rate of 0.50 percent of the net value of intra-state taxable supplies made through the e-commerce portals by other suppliers in the Central Tax law. A similar provision will soon be introduced by all the states, which will ensure a 1 percent collection of Tax at source by E-Commerce Marketplaces. Recently Amazon India notified all the sellers registered on its platform to furnish GSTIN. Failure to do so will result in suspension of seller account on Amazon India and there will be no customer order available to these sellers.

Many Sellers have received the following email from Amazon India. Here Sellers are asked to submit a GST Registration Number to be able to sell on Amazon India.

Dear Seller,

This is with reference to our earlier communications on the requirement under Goods and Services Tax (‘GST’) law for e-commerce operators to comply with TCS compliance requirement.

As per the provision, e-commerce operator collecting consideration with respect to taxable online sales made by seller on online marketplace is required to collect an amount at notified rate on the net value of taxable sales. The amount so collected is called as TCS which is required to be remitted by e-commerce operator to the government on monthly basis. The seller will be able to utilize TCS credit to offset their output tax liabilities.

The GST authorities have issued a notification dated September 13, 2018 making effective date of TCS provision from October 1, 2018. The rate of TCS has been notified on September 20, 2018 at 1% (0.50% under CGST and 0.50% under SGST).

GSTIN For Amazon India

We are working on implementing all necessary, system and process changes to ensure sellers on do not face any issues during the transition. In this regard, sellers selling taxable are requested to review/update your GSTIN ID in your Seller Central Account on or before September 30, 2018 to avail seamless credit of TCS amount while reporting your taxes.

If you do enter your GSTIN in Seller Central on or before September 30th 2018, your account will be suspended and you will not receive any customer orders.

Apply For GST Registration Here

powered by Typeform

At FileMyGSTR we help businesses grow them, without having to worry about any compliance because we take care of it.

Have any query? Write to us directly at [email protected]