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How to Register as an E-Commerce Operator and/or for Online Information Services(OIDAR)

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How to Register as an E-Commerce Operator and/or for Online Information Services(OIDAR)

As per the GST Law, a person who owns, operates and manages an E-Commerce platform is known as E-commerce operator and is liable to collect tax (Tax Collected at Source - TCS) from the supplier. For every taxable transaction done by the E-commerce operator on behalf of other suppliers through his platform, he is required to collect tax at 1% per transaction and deposit the same to the government. However, for an E-commerce operator liable to collect tax, he is required to be registered under GST, mandatorily.

Thus, if you are planning to venture into the world of E-commerce, here is how you can register as an E-commerce Operator in India.

Registration

  • Fill the E- application form REG-07 on the common portal.
  • The application should be duly signed or verified through EVC (Electronic Verification Code)
  • Submit the form, either directly or from the facilitation centres notified by the Commissioner
  • The proper officer will grant registration after verification and issue a certificate of registration in FORM GST REG-06 within 3 working days from the date of submission of application
E-Commerce Operator Registration

Cancellation of Registration

As per the updates effective February 1, 2019, the GST registration is mandatory only if the given E-commerce operator is liable to collect tax. Thus, if the authorised officer ascertains, through proceedings, that a person is not liable to collect tax, the officer can cancel his/her GST registration. The same shall be notified to the given person electronically via form GST REG- 08.

Registration for People Supplying Online Information from Outside India

Online Information and Database Access or Retrieval (OIDAR) services

Online information and Database Access or Retrieval Services [OIDAR] means services whose delivery is mediated through the internet. The supply is essentially automated involving minimal human intervention and impossible without information technology.

Application

OIDAR is applicable on any services delivered through the internet. Some of the popular examples are:

  • Internet Advertising
  • Cloud Services
  • Media Streaming Services
  • Electronic Data/Information Transfers
  • Online Gaming
  • Web-based services

Non-OIDAR services

Using the internet to communicate or facilitate the outcome of service can often be confused with OIDAR, which need not be the case every time. Thus few examples of non-OIDAR services are: Supplies of goods, where the order and processing is done electronically

  • Supplies of newspapers, newsletters, journals, etc.
  • Legal/Financial advice through mail.
  • Booking/Hiring for Events, Hotels, Cars, etc.
  • Services provided by a teacher for Online Educational/Professional courses.
  • Remote Location services provided for repair of Hardware or Software.
  • Advertising services in newspapers, on posters and on television
  • Internet backbone services and internet access services

To Register as for OIDAR Services

  • Fill the E- application form REG-10 on the common portal.
  • The application should be duly signed or verified through EVC (Electronic Verification Code)
  • Submit the form, either directly or from the facilitation centres notified by the Commissioner
  • The proper officer will grant registration, in FORM GST REG-06, subject to such conditions and restrictions as may be notified by the Central Government on the recommendations of the Council.
OIDAR Service Registration Process
For normal taxpayers, here is how you can register through the GSTN portal.

IRIS Sapphire is premium GST Compliance software from the house of IRIS GST. IRIS Sapphire offers you an end-to-end solution to file your GST returns without any hassle.

For any queries around GST, feel free to connect with us  at support@irisgst.com

About Neena Sethi

Neena

Neena Sethi, a Management Accountant, has been working with IRIS for over 7 years and is currently the Functional Analyst and Subject Matter Expert for IRIS' GST offerings and manages the Eway Bill Offering, IRIS Topaz. She has also been assisting the clients in return filing related queries. Prior to GST, she was involved in compliance and data analysis for the US markets. In her leisure time, she enjoys reading and travelling.

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