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Do You Need GST Registration to Sell on Amazon, Flipkart, or Other Marketplaces in India?

Indian marketplace sellers may generally need GST registration even below the usual turnover threshold, but qualifying goods sellers can use a conditional intra-State exemption. State limits, PAN-wide turnover, enrolment rules, and platform onboarding all matter.
From TheFinanceBase Team5 min to read
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Not always—but the answer is not simply based on whether sales are below a turnover limit. GST law generally requires sellers supplying through e-commerce operators that collect tax at source to register. Since 1 October 2023, however, qualifying sellers of goods below their applicable turnover threshold may use a conditional exemption for intra-State marketplace sales. The exemption has specific conditions, and a marketplace’s onboarding system may not offer the route. This overview reflects rules and public platform information available on 7 October 2026.

When GST registration is generally required

Section 24(ix) of India’s CGST Act generally makes registration compulsory for a person supplying goods or services through an e-commerce operator that is required to collect tax at source under section 52. That can mean a seller has to register even if turnover is below the ordinary section 22 threshold. The CGST Act sets out the registration provisions; CBIC also explains the general marketplace rule in its GST FAQ.

This is not a rule that every marketplace transaction is treated identically. Certain notified services are taxed by the operator under section 9(5), and the operator pays tax as if it were the supplier. That is distinct from section 52 TCS. Sellers should identify which rules apply to their particular supplies rather than assume every marketplace deduction is their GST payment.

The conditional exemption for some unregistered goods sellers

From 1 October 2023, Notification 34/2023-Central Tax provides a conditional exemption from obtaining GST registration for certain persons supplying goods through an e-commerce operator required to collect TCS under section 52. The exemption is limited to sellers whose aggregate turnover in both the preceding and current financial years does not exceed the applicable section 22 threshold. It is not blanket permission to sell any product, through any marketplace, anywhere in India without registration.

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The notification’s conditions include limits on the seller’s supplies and an enrolment procedure. In particular, the route is for intra-State supplies; do not rely on it for interstate sales. Read the full Notification 34/2023-Central Tax and verify the current GST Portal procedure before listing. The GST Council’s materials on the special procedure describe the policy for qualifying below-threshold goods suppliers using section 52 operators.

Which turnover threshold applies?

There is no single turnover figure that applies to every seller. Section 22 of the CGST Act provides a general threshold of ₹20 lakh for suppliers outside special category States and ₹10 lakh for relevant special category States. It also permits notified higher limits, including up to ₹40 lakh for eligible suppliers exclusively dealing in goods, subject to conditions and applicable State notifications. The statutory text and relevant notifications must be considered together; do not assume ₹40 lakh is the universal GST limit.

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Threshold calculations use aggregate turnover across India for all persons sharing the same PAN—not just sales on Amazon, Flipkart, or in one State. CBIC’s explanation of aggregate turnover includes taxable and exempt supplies, exports, and inter-State supplies, and excludes GST and cess. Sales through a shop, website, or another marketplace can therefore affect whether the threshold is crossed.

How to decide which route may fit

  1. Classify what you sell. Establish whether you supply taxable goods, only GST-exempt goods, services, or a mix. The conditional exemption described above concerns qualifying suppliers of goods; do not assume it covers services.
  2. Identify the marketplace tax arrangement. Check whether the operator is required to collect section 52 TCS for your transactions, or whether a notified section 9(5) service rule applies.
  3. Calculate PAN-wide aggregate turnover. Include relevant supplies across India and all sales channels, not just the marketplace account under review.
  4. Find your applicable section 22 threshold. State rules, whether you deal exclusively in goods, and your supply profile can affect the threshold.
  5. Test the exemption conditions if you sell goods below threshold. Confirm that you meet the notification’s current conditions, including the intra-State restriction and enrolment requirement.
  6. Check the actual seller onboarding route. Legal eligibility and the marketplace’s technical acceptance are separate questions. Confirm what documentation the platform currently accepts before relying on the exemption.
  7. Register if liable, and plan for filings. A person liable under section 22 or 24 generally must apply in each State or Union territory where liable within 30 days of becoming liable. See section 25 of the CGST Act; special timing rules apply to casual and non-resident taxable persons.

What Amazon, Flipkart, and other marketplaces say

Amazon India

Amazon India’s public seller FAQ says sellers need to provide GST details when registering to list taxable goods; it says those details may not be required for sellers listing only GST-exempt categories. The FAQ does not explain the conditional unregistered-seller route under Notification 34/2023. Check Amazon’s current onboarding flow or obtain confirmation from Amazon before assuming it accepts an enrolment number or other documentation in place of a GSTIN.

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Flipkart and other marketplaces

The available authoritative information does not establish whether Flipkart currently supports onboarding under this particular exemption. The same caution applies to other marketplaces: statutory eligibility does not prove that an operator has implemented a corresponding seller workflow. Check the platform’s current official seller help or onboarding process; do not infer acceptance or rejection without confirmation.

Registration brings filing and recordkeeping duties

Registration is not just a number entered during onboarding. GST Portal guidance says GSTR-1 captures e-commerce supplies involving section 52 and section 9(5). Which supplies you report and your filing pattern depend on your registration type and transactions. Review the GST Portal returns guidance and keep records that support turnover calculations, marketplace sales, and tax reporting.

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Where a seller has registrations in multiple States, each registration is treated as a distinct person for GST purposes. The location and nature of supplies therefore matter both when deciding whether registration is required and when managing ongoing compliance.

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Common mistakes to avoid

  • Using one turnover number for every State and business. The applicable section 22 threshold depends on State and seller circumstances.
  • Counting only marketplace sales. Aggregate turnover is PAN-wide and includes relevant supplies from other channels.
  • Treating the 2023 exemption as a general marketplace waiver. It is conditional, applies to qualifying goods suppliers, and does not permit interstate supplies under this route.
  • Assuming the platform has implemented the exemption. A legal route and a platform’s registration workflow are separate matters.
  • Calling all marketplace tax deductions the same thing. Section 52 TCS and tax paid by an operator under section 9(5) are distinct arrangements.

GST requirements and platform workflows can change. Before selling, check the current law, notifications, GST Portal enrolment instructions, and the marketplace’s official onboarding requirements; a tax professional can assess how the rules apply to a particular seller.

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