Calculation Of Net Proceeds and Net GST Liability Ecommerce

Prakash Dayani (10 Points)

30 June 2025  

Here Is a Scenario

Customer Invoice Amount = 197 Which Includes 18% GST
Flipkart Commission = 25.61
Flipkart Fixed Fee = 5.00
TCS Deducted By Flipkart = 0.83
TDS Deducted By Flipkart  = 0.17
GST On Flipkart Commission and Flipkart Fixed Fee - (4.61+ 0.90) = 5.51    
Settlement Value to Sellers Bank Account = 159.88

Input Tax Credits That will be received are as follows - 

TCS Deducted By Flipkart = 0.83
TDS Deducted By Flipkart  = 0.17
GST On Flipkart Commission and Flipkart Fixed Fee - (4.61+ 0.90) = 5.51

Which Of the following Approaches is correct ?

A  - Net Proceeds  = Invoice Amount  197 - GST PAID On Invoice   30.05 - Flipkart Commission 25.61
- Flipkart Fixe Fee  - 5 -TCS 0.83 - TDS 0.17 - GST On Flipkart Commission and Fixed Fee 5.51
 + Input Tax Credit 6.51 (0.83+0.17+5.51)  = 136.34

B - Net Proceeds  = Settlement Value 159.88 - Gst On Settlement Value (159 - (159/1.18) 24.38
 + Input Tax Credit 6.51 (0.83+0.17+5.51)   = 142.01