Background
Earlier, the GST Council in its 47th meeting, recommended to allow composition taxpayers to make intra-State supply of goods through E-commerce operators subject to certain conditions.
Subsequently, Section 137 of the Finance Act, 2023 made appropriate amendment under Section 10 of the Central Goods and Services Tax Act, 2017 (“the CGST Act”) so to allow the composition taxpayer to make intra-state supply of goods through E-commerce platforms (the said amendment will be made effective from October 01, 2023 and had been notified vide notification no. 28/2023 Central Tax dated July 31, 2023).
Notification:
Now, the CBIC vide Notification No. 36/2023- Central Tax dated August 04, 2023, in the exercise of the powers conferred by Section 148 of the CGST Act, notified E-commerce operators as the class of persons who shall follow the following special procedure in respect of the supply of goods made through them by the composition taxpayer,—
i. The E-commerce operator cannot facilitate the inter-state supply of goods by it to the Composition taxpayer;
ii. The E-commerce operator is responsible for collecting the tax at source (TCS) in respect of the supply of goods made through it by the composition taxpayer and to pay to the government in accordance with the provision of Section 52(3) of the CGST Act;
iii. The E-commerce operator shall electronically furnish the details of supplies of goods made through it by the composition taxpayer in FORM GSTR-8 on the common portal.
The notification will come into force with effect from October 01, 2023.
The Notification can be accessed at: https://a2z-bucket.s3.ap-south-1.amazonaws.com/wp-content/uploads/2023/08/Notification-No.-36-2023-Central-Tax-dated-August-04-2023.pdf
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