Flow Chart of GST Registration Applicability in case of Electronic Commerce Supply

Latish Alwani | Last updated: 18 August 2021

Save Share

Quick Summary

This article clarifies the Goods and Services Tax (GST) registration requirements for businesses involved in electronic commerce. It defines an e-commerce operator and a supplier, and outlines specific situations where mandatory GST registration is required for both, irrespective of their annual aggregate turnover. Certain exemptions may apply based on the type of services supplied and whether the e-commerce operator collects tax at source.

Summarised Provision of GST Registration Applicability in case ofE-Commerce Supply 1. Electronic Commerce u/s-2(44) Supply of Goods or Services or both, including digital products over digital or electronic network. 2. E-commerce Operator u/s-2(45) Any Person who: Owns, Operates

Daily Limit Reached

You have reached your daily limit of 2 Free Articles

Subscribe to CCI PRO for unlimited access

Why Upgrade to CCI PRO?

No Ads
WhatsApp Broadcasts
Daily E-Newsletter
Unlimited Articles Access

BEST VALUE

2 YEAR PLAN

3,499

(Inclusive of GST)

1 YEAR PLAN

1,999

(Inclusive of GST)

View all CCI PRO benfits

Already a PRO member? Login here for an ad-free experience.

FAQ :

Electronic Commerce refers to the supply of goods or services, including digital products, over a digital or electronic network.

An ECO is mandatory required to register for GST if they own, operate, or manage a digital platform for e-commerce and are required to collect tax at source under Section 52, regardless of their turnover.

Suppliers making inter-state taxable supplies or paying tax under reverse charge are mandatorily required to register for GST, irrespective of their turnover. For intra-state supplies of specific services, the ECO may be liable for GST.

Yes, under certain conditions, persons supplying services (other than those specified under Section 9(5)) through an ECO who collects tax at source may be exempt if their Annual Aggregate Turnover (AATO) does not exceed Rs. 20 Lakhs (or Rs. 10 Lakhs for special category states other than J&K).

For intra-state supplies of services such as passenger transportation by taxi or accommodation in hotels, the E-Commerce Operator is liable to pay GST, provided the supplier is otherwise liable for registration.