Home India Ministry of Finance In exercise of the powers conferred by sub section 1 of sect...
Date: 2018-09-20 Category: Extra Ordinary State: Union Government Country: India

In exercise of the powers conferred by sub section 1 of section 52 of the Central Goods and Services Tax Act 2017

Issued by Ministry of Finance · Department of Revenue

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Executive Summary & Key Takeaways

This notification, issued by the Ministry of Finance, Department of Revenue, Central Board of Indirect Taxes and Customs on September 20, 2018, concerns the collection of tax by electronic commerce operators (excluding agents) under the Goods and Services Tax (GST) Act. Notification No. 52/2018 - Central Tax, G.S.R. 900(E), stipulates that electronic commerce operators must collect an amount calculated at a rate of half percent (0.5%) of the net value of intra-State taxable supplies made through their platform by other suppliers, where the consideration for these supplies is collected by the operator. This is enacted under subsection (1) of section 52 of the Central Goods and Services Tax Act, 2017 (12 of 2017). Notification No. 02/2018 - Integrated Tax, G.S.R. 901(E), stipulates that electronic commerce operators must collect an amount calculated at a rate of one percent (1%) of the net value of inter-State taxable supplies made through their platform by other suppliers, where the consideration for these supplies is collected by the operator. This is enacted under the second proviso to section 20 of the Integrated Goods and Services Tax Act, 2017 (13 of 2017), read with subsection (1) of section 52 of the Central Goods and Services Tax Act, 2017 (12 of 2017). The notification was issued based on the recommendations of the Council. The F. No. is 349/58/2017-GST/Pt. Contact person: GUNJAN KUMAR VERMA, Under Secy.

Key Entities Referenced

Central Goods and Services Tax Act, 2017: A tax law in India, referenced in the notification regarding powers conferred to the Central Government. Integrated Goods and Services Tax Act, 2017: A tax law in India, referenced in the notification regarding powers conferred to the Central Government. Central Government: The governing authority empowered to issue notifications under the Central Goods and Services Tax Act and the Integrated Goods and Services Tax Act. Council: The advisory body whose recommendations are considered by the Central Government in issuing the notifications. Electronic Commerce Operator: Entities that operate platforms for electronic commerce and are required to collect tax on intraState and interState supplies. Ministry of Finance: The government ministry responsible for the Department of Revenue and the Central Board of Indirect Taxes and Customs. Department of Revenue: A department under the Ministry of Finance. Central Board of Indirect Taxes and Customs: An agency of the Department of Revenue in the Ministry of Finance.
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