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The Economic Times
The Economic Times
Business
Sneha Kulkarni

Has government imposed 5% GST on e-commerce delivery services ahead of Diwali? Income Tax Dept says this

A claim being circulated on social media says that the government has imposed a new 5% Goods and Services Tax (GST) on e-commerce delivery services. In response to the claim, the Press information Bureau’s Fact Check team says the claim is fake as no new GST has been imposed on e-commerce delivery services. Citing the Central Board of Indirect Taxes and Customs (CBIC), the PIB Fact Check team says that the GST on these services has been lowered from 18% to 5%.

The CBIC, in a social media post, has stated, “The claim made in this post is wrong and factually incorrect. Delivery services, for example those provided by food apps, were earlier taxed at 18%. The tax on these delivery services has now been reduced to 5% as recommended in the 57th GST Council meeting. All delivery services provided through e-commerce platforms are now taxed uniformly at 5%. So, there is no new imposition of tax. Rather, there is a reduction in tax.”

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