The GST Council has given the go-ahead for amendments in the GST Act and GST Rules which would allow unregistered suppliers and composition taxpayers to make intra-state supply of goods through E-Commerce Operators (ECOs), subject to certain conditions.
How is it progressive?
The Confederation of All India Traders (CAIT) expressed appreciation of the council’s major decision to allow small unregistered vendors to sell their goods through e-commerce portals.
They called it a “progressive decision” which was demanded by CAIT for the last over two years.
With this, small traders who are below the GST threshold limit will be empowered to expand their business through e-commerce and will strongly strengthen the Digital India vision.
Now ply trade through e-commerce
There are more than 8 crore small traders in the country but a large number of them conduct business without GST registration since their annual sale is below the GST threshold limit.
Now, such traders will be able to trade on e-commerce.
CAIT said that India is fast emerging as the e-commerce hub and there is tremendous growth in online business.
Growing presence of e-commerce
E-commerce business in India is now approximately 10 per cent of total retail.
They said in a statement, “In view of this it was extremely pertinent that small vendors, those who have small turnovers and do not fall under the purview of the GST, were not able to conduct online business, thus causing huge loss of market and business opportunities.”
