Question

Tax Issues: Should you be charging sales tax on your online store? Present your opinion (agree or disagree) supported by facts and logical arguments.

Answer 1

Yes

Sales tax shall be charged on the on the online shopping at a specified rate.

Example.

Booking ola cab through the ola application. In this case custoybook cab through ola application. Here service recipient is the Booker where as service provider is the cab driver.

In this case tax is collected and paid by the ola not by the cab driver.

There is concept of the electronic commerce operator in the GST provision. As per this provision the middle man i.e ola has to get registered him self under the GST legislation and all the provisions of the act will be applicable to him.

Conclusion.

Tax is applicable on online shopping as the normal shopping but tax is colleyand paid the electronic commerce operator.