GST for ecommerce sellers in India: a simple guide.
GST scares many new sellers, but the basics are manageable. This is a plain-English overview to get you oriented - it is educational, not tax advice, so confirm specifics with a professional.
Do you need a GSTIN?
Most marketplaces require a GST registration number to sell taxable goods. Some categories on some platforms allow limited selling without it, but rules change - verify the current requirement for your exact category before listing.
HSN codes explained
Every product needs an HSN code that classifies it for GST. Marketplaces ask for it at listing time. Our listing generator can suggest a likely HSN code and GST slab as a starting estimate - always verify it with a tax professional.
What sellers deal with
TCS and reconciliation
Marketplaces collect a small Tax Collected at Source on your sales and deposit it against your GSTIN. You reconcile this when filing returns, so keep your settlement and tax reports organised each month.
Price with GST in mind
Your selling price includes GST, and the marketplace deducts fees and TCS before settling. Model the real take-home per order with the ROI Planner so tax and fees do not erase your margin.
Important
GST rules and thresholds change and vary by product and situation. Treat this guide as orientation only and consult a qualified tax professional or the official GST portal before making decisions.
Frequently asked questions
Do I need GST to sell online?
Usually yes for taxable goods; some categories allow limited selling without it. Verify your category and consult a professional.
What is an HSN code?
A code classifying your product for GST, required during listing. Confirm the right one with a professional.
What is TCS?
Tax Collected at Source - marketplaces deposit a small percentage against your GSTIN; you reconcile it in returns.
Is this tax advice?
No - it is educational. Always confirm with a qualified professional or the GST portal.