Do I need GST registration to sell on Flipkart?

In most cases, yes. Flipkart asks for a GSTIN at registration and says GST is mandatory for most categories, and Section 24 of the CGST Act requires registration for anyone selling through a marketplace that collects TCS or selling to other states. Since October 2023, Notification 34/2023–Central Tax exempts small sellers of goods who sell only within their own state and stay under the threshold, but each marketplace sets its own onboarding rules, so check Flipkart's requirement for your category.

Does Flipkart really charge 0% commission?

On products priced below ₹1,000 in every category, and across the whole Fashion category at any price, Flipkart says it charges 0% commission. You still pay a fixed fee that depends on your seller tier, plus collection and shipping fees where they apply, and 18% GST on all of those fees.

How do I claim the TDS Flipkart deducts from my payments?

Flipkart deducts 0.1% income-tax TDS under Section 194O (Section 393(1) of the Income-tax Act, 2025 since April 2026) and reports it against your PAN. It appears in Form 26AS and your AIS, and you claim it as a credit when you file your income-tax return. It is separate from the 0.5% GST TCS, which you claim on the GST portal.

What GST rate applies to clothes I sell on Flipkart?

Readymade garments are taxed at 5% if the sale value is up to ₹2,500 per piece and 18% above ₹2,500, since the September 2025 rate changes. Footwear follows the same ₹2,500 per-pair threshold. The rate is tested per piece, not per invoice.

Are Flipkart's delayed-dispatch and cancellation penalties deductible?

Flipkart introduced per-shipment penalties from August 2026, reported as ₹30 for delayed dispatch, ₹60 for seller or auto-cancellations and ₹90 where both apply. They are deducted from your settlement like fees, so treat them as a cost of selling and keep the Flipkart invoice or statement that shows them for your books.

Flipkart Seller GST Guide (2026-27) — Registration, Fees, TCS and Returns

GST for Flipkart sellers — 0% commission rules, 18% GST on fees, 0.5% TCS vs 0.1% TDS and how to claim both, with a worked ₹1,500 payout example.

Last reviewed: 23 September 2026

Spotlight

Worked Example — A ₹1,500 Kurta on Flipkart

Selling price (incl. 5% GST)	₹1,500
Commission (Fashion — 0%)	₹0
Fixed fee (illustrative; depends on seller tier)	−₹30
Shipping (illustrative, under 500 g)	−₹40
18% GST on those fees	−₹12.60
GST TCS (0.5% of ₹1,428.57 taxable value)	−₹7.14
Income-tax TDS u/s 194O (0.1%)	−₹1.43
Settled to your bank	₹1,408.83

Spotlight

Worked Example — What You Keep After GST

Settled to your bank	₹1,408.83
Output GST you owe on the sale (5%)	−₹71.43
ITC on Flipkart's fee GST	+₹12.60
TCS credit in your cash ledger	+₹7.14
Kept before product cost (plus ₹1.43 TDS back via ITR)	₹1,357.14

This page collects everything Dhanaay has on GST for Flipkart sellers in one place: when you need to register, what Flipkart deducts from each settlement, which of those deductions you get back, and the monthly filing routine that recovers them. Each section is short and links to a detailed guide or calculator.

Selling on Amazon too? The Amazon Seller GST Guide covers the same ground for Amazon. For the GST rules common to every marketplace, see the Complete GST Guide for E-commerce Sellers.

1. Registration: do you need a GSTIN?

Most Flipkart sellers do. Flipkart asks for a GSTIN when you sign up and says GST is mandatory for most categories. Section 24 of the CGST Act makes registration compulsory for anyone selling through a marketplace that collects TCS, whatever their turnover, and for anyone selling to buyers in another state.

The one exception, since October 2023, is narrow. Under Notification 34/2023–Central Tax, small sellers of goods who sell only within their own state and stay under the threshold can enrol with a PAN-based enrolment number instead. Flipkart sets its own rules on whether it accepts that for your category, and the exemption rules out national shipping anyway. See GST registration for e-commerce sellers for the details, or run the GST Registration Threshold Checker.

To set up your account, follow the Flipkart seller registration guide, which covers documents, the 8 setup steps, and GST verification.

2. What Flipkart deducts, and what comes back

The two charts above follow a ₹1,500 kurta, taxed at 5% GST, from the order page to your bank and then to what you actually keep. Flipkart's 0% commission on Fashion means no commission line, but the fixed fee, shipping and taxes still come off. The fixed fee and shipping figures are illustrative, since yours depend on seller tier, weight, zone and fulfilment method. For your own numbers, use the Flipkart GST Calculator.

The ₹91 gap between the ₹1,500 price and the ₹1,408.83 payout is made of three different kinds of deduction:

Deduction	Example	What it is	Do you get it back?
Fixed, collection and shipping fees	₹70	Flipkart's charges for selling	No — this is your real cost of selling on Flipkart
18% GST on those fees	₹12.60	GST on Flipkart's services to you	Yes — as ITC, once it appears in your GSTR-2B
GST TCS, 0.5%	₹7.14	GST collected by Flipkart under Section 52	Yes — accept it on the GST portal; it lands in your cash ledger
Income-tax TDS, 0.1%	₹1.43	Income tax deducted under Section 194O	Yes — as a credit in your ITR (Form 26AS / AIS)

After the payout you still owe the 5% output GST included in the price: ₹71.43 here. You pay it in GSTR-3B, with the fee ITC and TCS credit reducing the bill.

A catch for fashion sellers. Your product is taxed at 5%, but Flipkart's fees, your courier, packaging and most other inputs carry 18%. On low-priced items your ITC can build up faster than your output GST uses it. File every month, keep your purchase invoices in order, and if credit keeps piling up, ask a CA whether an inverted-duty refund applies.

The commission rules are 0% on all products under ₹1,000 and 0% across Fashion at any price. Other categories pay a category-wise rate. Your exact rate card is in Seller Hub. Since August 2026 Flipkart has also charged per-shipment penalties for delayed dispatch and seller cancellations — see Amazon and Flipkart seller fee changes for festive 2026.

3. Getting your TDS and TCS back

Flipkart takes two different taxes from every settlement. Sellers often mix them up, and claim neither.

GST TCS (0.5%) — Flipkart reports it in its monthly GSTR-8. Accept it under TDS and TCS Credit Received on the GST portal, and it moves to your electronic cash ledger to pay GST or claim as a refund. Walkthrough: how to claim TCS refund on Amazon and Flipkart.
Income-tax TDS (0.1%) — deducted under Section 194O and reported against your PAN. Check it in Form 26AS / AIS and claim it when you file your ITR. Walkthrough: how to claim TDS credit in your ITR. Estimate it with the 194O TDS calculator.

4. The monthly GST routine for Flipkart sellers

Download the month's reports from Seller Hub: the sales and returns report and Flipkart's fee invoices.
File GSTR-1 by the 11th (or quarterly under QRMP). Report the full invoice value of each sale, not the settlement. Don't net off fees, TCS or TDS. See how to file GSTR-1.
Check GSTR-2B for Flipkart's fee invoices before claiming ITC. The GSTR-2A vs GSTR-2B guide explains why 2B is the one that counts.
Accept the TCS credit on the GST portal.
File GSTR-3B by the 20th (22nd/24th for quarterly filers). See how to file GSTR-3B.

Exact dates for the year are on the GST due dates calendar.

5. Product tax and invoices

Each listing needs an HSN code and GST rate. For clothes and footwear the rate depends on price: 5% up to ₹2,500 per piece or pair, 18% above — see the GST 2.0 rate table. Check other products in the GST Rate Finder or HSN code finder, and read the real cost of a wrong HSN code. The GST invoice format guide lists the mandatory invoice fields.

6. When you outgrow the basics

Flipkart Minutes and quick commerce. Minutes runs on local, dark-store-style fulfilment, and every location that holds your stock counts as a place of business under GST. See the Flipkart Minutes seller guide and the GST Operations Guide for Scaling Sellers.
Selling on more channels. Compare fees for the same product across marketplaces with the Marketplace Profit Calculator, or read the Amazon vs Flipkart vs Meesho comparison.
Too many invoices to reconcile by hand. See the best GST software for e-commerce sellers. If you'd rather hand filing off entirely, GST return filing connects you with a CA partner who does it for you.

Sources and assumptions

Fees: commission rules from Flipkart's fees and commission page. The fixed fee (₹30) and shipping (₹40) in the example are illustrative defaults, matching the Flipkart GST Calculator. Collection fees aren't shown. Your actual rate card is in Seller Hub. Penalty amounts are as reported in the press — see the linked fee-changes post for sources.
Product GST: 5% on garments up to ₹2,500 per piece and footwear up to ₹2,500 per pair, 18% above, under Notification 9/2025–Integrated Tax (Rate) from September 2025.
Taxes on the payout: GST TCS at 0.5% under Section 52 of the CGST Act, in force since July 2024, on taxable value. Income-tax TDS at 0.1% under Section 194O (Section 393(1) of the Income-tax Act, 2025 from April 2026) on the sale value excluding GST. The ₹5 lakh 194O threshold for individuals and HUFs is ignored here for simplicity.