Flipkart, Amazon voice concerns over India’s proposed e-commerce tax
Date: 2020-02-17   Author: Pankaj Singh  Category: #news

Flipkart, Amazon voice concerns over India’s proposed e-commerce tax

Flipkart, Amazon and other online retailers have demanded that India must roll back a proposed tax on all the third-party sellers on their respective platforms. The retailers stated that the burden of the agreement can be harmful to the growing industry, as per Reuters.

Apparently, the online retail sector is bracing for a potential tax of 1% on every sale that the sellers make on their platforms from April, in case the proposal gets approved by the parliament by the next month. This move has been considered as part of a bigger plan by the Narendra Modi government that aims to increase tax revenues and neutralize steep economic slowdown on account of the slumping demand.

The Federation of Indian Chambers of Commerce and Industry (FICCI) has made a presentation for the government stating that the tax will be detrimental towards the emerging e-commerce sector of the country.

The lobby group commented the tax will be causing an irreparable loss to the overall industry along with a grown compliance burden. This will further result in a decline in trading activities.

The U.S.-India Strategic Partnership Forum (USISPF), an influential and renowned lobby group has asked the government to provide the e-commerce companies with more time to for complying with the tax proposal.

As per the proposal’s copy reviewed by Reuters, the group wishes to defer the implementation of the new tax to April 1, 2021, or even later. A Spokesman of Flipkart based in Bengaluru stated that it had been working with the industry chambers to voice the concerns of the sellers as well as emphasize the risen cost of compliance.

The executives of the retail industry have requested the government to not impose the new tax on their contribution towards goods and services tax as it can take longer to refund.

 

Source Credit- https://money.usnews.com/investing/news/articles/2020-02-14/amazon-flipkart-challenge-new-indian-tax-on-online-sellers



About Author


Pankaj Singh

Pankaj Singh

Pankaj Singh Develops content for Algosonline, Market Size Forecasters, and a couple of other platforms. A Post Graduate in Management by qualification, he worked as an underwriter in the UK insurance domain before deciding to switch his field of profession. With exp...

Read More

More from Pankaj


Post Recommendents

Vehicle Diagnostics Market by Trends, Key Players, Driver, Segmentation, Forecast to 2025
Author: Ashwin Naphade

The latest report on ' Vehicle Diagnostics Market' now available at Market Study Report, LLC, explains the current and upcoming trends besides details related to the regional landscape of the ' Vehicle Diagnostics market' that incl...


Breathalyzer Market Growth, Size, Opportunities and Analysis Forecast 2020 - 2025
Author: Ashwin Naphade

Global Breathalyzer Market report contains all study material about overview, growth, demand and forecast research report in all over the world. This report offers some penetrating overview and solution in the complex world Global Breathalyzer ind...


Non-invasive Ventilators Market Size, Growth Trends, Top Players, Application Potential and Forecast to 2025
Author: Ashwin Naphade

The ' Non-invasive Ventilators market' study Added by Market Study Report, LLC, delivers an in-depth outline regarding the powerful trends existing within the industry. The study also comprises significant information concerning growth pro...