Levy 28% GST On Quick Commerce, Ecommerce Firms: Cait To Govt
Apr 28, 2025
The industry body has accused these companies of continuously violating rules and laws, selling counterfeit products and conspiring to destroy the businesses of small traders
Urging the government and the Goods and Services Tax (GST) council to take immediate action against the malpractices, the national governing council meeting of the Confederation of All India Traders (Cait) has demanded that a 28 per cent GST should be levied on quick commerce and ecommerce companies, stating that such convenience should be treated as a luxury and taxed accordingly.
In a resolution passed during the meeting, Cait accused ecommerce and quick commerce companies of continuously violating rules and laws, selling counterfeit products and conspiring to destroy the businesses of small traders. The industry body urged the government to implement the ecommerce policy and the rules framed under the Consumer Protection Act and the Foreign Direct Investment (FDI) policy.
Trade leaders across the country urged a complete review and simplification of the GST structure. Traders demanded a comprehensive review of GST to expand the tax base and to revisit and rationalise the different tax slabs, making the system simpler and more business-friendly.
Praveen Khandelwal, the Secretary General of Cait, informed that a unanimous resolution was passed in the meeting condemning the terrorist incident in Pahalgam in the strongest terms and calling for a complete boycott of all trade relations with Pakistan. The resolution stated that the business community has decided to cease all forms of imports and exports with Pakistan.
“In the current circumstances, the business community across the country stands united and ready under the leadership of Prime Minister Narendra Modi to take any necessary step for protecting the sovereignty and commercial freedom of the nation,” Khandelwal highlighted.
Sharing statistical details, the traders' body stated that between April 2024 and January 2025, India exported about USD 500 million worth of goods to Pakistan, mainly pharmaceuticals, chemicals, sugar and auto parts, while imports stood at merely USD 0.42 million. Now, traders have resolved to completely end this trade as well.
[Business World]