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.
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.
Gupta Sachdeva & Co. Chartered Accountants
New Delhi
CA Final
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