Commission Calculation

Should an e-Commerce operator working on Dropshipping modelcalculate this commission on the Base Price of a product or on Base Price + GST? 

For example, if the Base Price of a product supplied by the vendor is 1000, GST is 18%  then should the e-Commerce Operator apply his commission of 25% on 1000 or 1180?  Thanks in advance. 

Replies (3)
Quick Summary
This discussion explores how e-commerce operators using a dropshipping model should calculate their commissions. The core question is whether to apply commission on the product's base price or the total price including GST. The consensus suggests that commissions are typically calculated on the base price, but it ultimately depends on the specific contract or billing model agreed upon with vendors.

These would depend on billing model

Usually one should calculate Commission on 1000 usually

It depends on the contract.

Normally it happens on the base price.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 20 October 2026
CA ARTICLE

AMKN & CO

Noida

CA Inter

View Details
Company
06 October 2026
Assistant Manager - Audit and Compliance

Ravi K Jain & Co

Noida

Others

View Details
Company
12 October 2026
AUDIT , ACCOUNTS AND TAXATION

KDSS

New Delhi

B.Com

View Details
Company
ARTICLESHIP 07 October 2026
Article assistant

S.K.Bajpai & Co.

Noida

B.Com

View Details
Company
ARTICLESHIP 07 October 2026
Article Assistant

Malhotra Rajesh & Associates

New Delhi

B.Com

View Details
Company
12 October 2026
Finance

I-Genext Consulting Private Limited

New Delhi

CA

View Details
Company
22 September 2026
Account Assistant

Chirag P Shah & Co. Chartered Accountant

Pune

B.Com

View Details
Company
05 October 2026
Senior Accountant

Vision IT Peripherals Pvt Ltd

Mumbai

B.Com

View Details