Selling online has never been easier — but it comes with GST rules that trip up many first-time sellers. Here's what you need to know before you list your first product.
Do online sellers need GST?
If you sell goods through an e-commerce marketplace like Amazon, Flipkart or Meesho, GST registration is generally required to list and sell — most marketplaces ask for a GSTIN at onboarding, regardless of turnover. Rules for small suppliers of certain services can differ, so confirm your exact case.
TCS by marketplaces
E-commerce operators collect Tax Collected at Source (TCS) on your sales and deposit it against your GSTIN. You then reconcile this in your GST returns — so accurate return filing matters more for online sellers than most.
What you'll need to stay compliant
- A valid GSTIN before you start selling.
- Correct HSN codes and GST rates on every product (remember GST 2.0 changed many rates).
- Monthly/quarterly return filing, reconciling marketplace TCS.
- Proper invoices for every sale.
Selling from your own website?
The same GST logic applies — you need a GSTIN, correct rates, proper invoices and timely returns. The advantage is you keep more margin without marketplace fees; the responsibility for compliance sits fully with you.
Get your registration and first few returns right, and online selling becomes routine. Get them wrong, and notices follow — so it pays to set it up properly from day one.
Get started with GovYapar →
This article is for general information based on rules current at the time of writing and is not professional advice. Rules change — confirm specifics with a GovYapar expert before acting.
← Back to all articles