Traders body CAIT on Sunday alleged that e-commerce portals during the festive sales are causing huge loss of revenue to the Government by levying GST on the discounted price rather than on the actual market price of the commodity.
The Confederation of All India Traders (CAIT) in a communication sent to Finance Minister Nirmala Sitharaman on Sunday charged that the e-commerce companies particularly Amazon and Flipkart through their festive sales are depriving the government with huge amount of GST revenue, a CAIT statement said.
CAIT has urged the Finance Minister to order an investigation into the business model of these companies.
“Its irony that if a trader makes even a slight mistake during the course of his business, he is subjected to several penalties and even prosecution. However, these e-commerce companies which are authorised to do only Business to Business activities are conducting Business to Consumers sales right under the eyes and nose of the government and no action has been taken so far against them for such a blatant violation of FDI Policy,” it said.