<p>Auto-rickshaw services provided through ecommerce platforms would attract 5 per cent GST from January 1, 2022.</p>.<p>The Revenue Department under the Finance Ministry through a notification dated November 18 withdrew the GST exemption available to auto rickshaws providing passenger transport services through ecommerce platforms.</p>.<p>While the passenger transport services provided by auto rickshaw drivers through offline/ manual mode would continue to be exempt, such services when provided through any ecommerce platform would become taxable at 5 per cent effective January 1, 2022.</p>.<p>"This amendment shall have a direct impact in the case of ecommerce industry players who provide an online platform to a large number of auto rickshaw drivers for connecting with riders. ecommerce industry has established a very crucial place in the market when it comes to facilitating passenger transport services owing to its cheaper, convenient and flexible manner of booking rides.</p>.<p>"The newly inserted provision would render rides booked through ecommerce platform costlier thereby creating tax disparity for the same service when provided through offline vis-à-vis online mode," EY India Tax Partner Bipin Sapra said.</p>.<p><strong>Watch the latest DH Videos here:</strong></p>
<p>Auto-rickshaw services provided through ecommerce platforms would attract 5 per cent GST from January 1, 2022.</p>.<p>The Revenue Department under the Finance Ministry through a notification dated November 18 withdrew the GST exemption available to auto rickshaws providing passenger transport services through ecommerce platforms.</p>.<p>While the passenger transport services provided by auto rickshaw drivers through offline/ manual mode would continue to be exempt, such services when provided through any ecommerce platform would become taxable at 5 per cent effective January 1, 2022.</p>.<p>"This amendment shall have a direct impact in the case of ecommerce industry players who provide an online platform to a large number of auto rickshaw drivers for connecting with riders. ecommerce industry has established a very crucial place in the market when it comes to facilitating passenger transport services owing to its cheaper, convenient and flexible manner of booking rides.</p>.<p>"The newly inserted provision would render rides booked through ecommerce platform costlier thereby creating tax disparity for the same service when provided through offline vis-à-vis online mode," EY India Tax Partner Bipin Sapra said.</p>.<p><strong>Watch the latest DH Videos here:</strong></p>