Quick answer
Is GST registration compulsory for online sellers in Delhi?
GST registration for ecommerce sellers is compulsory whenever goods go to buyers in other states, or through marketplaces in more than one state, because the turnover threshold does not apply. A Delhi seller selling goods only within Delhi, below the section 22(1) limit, may use a free PAN-based enrolment number instead, under Notification 34/2023-Central Tax.
- Inter-state online sales of goods need a GSTIN from day one
- Intra-Delhi sellers below the limit can use a PAN enrolment number
- Marketplace TCS is 0.5% of net taxable sales since 10 July 2024
- Rule 14B from 1 November 2026 allows warehouse-based registration in other states
- No government fee for a GSTIN on gst.gov.in
Is GST registration for ecommerce sellers compulsory?
Yes for most sellers. The GST law requires anyone supplying through a marketplace that collects tax at source to register, overriding the normal turnover limit. The one relief is for small sellers of goods who stay inside a single state and sell nothing across state lines.
For an ordinary Delhi shop, registration starts only when aggregate turnover crosses ₹40 lakh for goods or ₹20 lakh for services. Online selling changes that. Section 24 of the CGST Act lists people who must register even below the limit, and clause (ix) covers suppliers selling through an electronic commerce operator that must collect tax under section 52, as TaxGuru's reading of section 24 explains. Amazon, Flipkart, Meesho and similar marketplaces collect that tax, so their sellers fall in this clause.
Since 1 October 2023 the government has carved out an exemption for small goods sellers who meet strict conditions. If you fit it, you sell on a PAN-based enrolment number. If you do not, you need a full GSTIN through the normal GST registration in Delhi process before your listing goes live.
| Your situation | What you need | Why |
|---|---|---|
| Goods sold only to Delhi buyers, one marketplace state, turnover within the limit | Enrolment number against PAN | Notification 34/2023-Central Tax exemption |
| Goods shipped to buyers in other states, any turnover | Regular GSTIN | Exemption bars inter-State supply |
| Goods sold through marketplaces in two or more states | Regular GSTIN in each state | Exemption allows one state only |
| Online and offline sales together above the threshold | Regular GSTIN | Turnover limit crossed |
| Registered in Delhi and stocking a marketplace warehouse in another state | Rule 14B registration in that state | New route from 1 November 2026 |
| Own website with a payment gateway, no marketplace | Turnover test first, but check inter-State goods sales | No operator collects tax at source, yet other compulsory cases in section 24 can still apply |
Sources: Notification 34/2023-Central Tax and commentary on Rule 14B, checked November 2026. The last row assumes no operator is involved; confirm your platform's terms with us.
Can a small seller sell online without a GSTIN?
Yes, if every condition of Notification 34/2023-Central Tax is met. Dated 31 July 2023 and in force from 1 October 2023, it exempts small goods sellers on marketplaces from registration, provided they declare their PAN on the GST portal and receive an enrolment number before the first sale.
The turnover limit in the notification is the one in section 22(1) of the CGST Act. Commentators read that as ₹20 lakh for a Delhi seller, not the ₹40 lakh goods limit, which comes from a separate notification. Count turnover for both the previous and the current financial year.
- No inter-State supply of goods at all.
- Sales through marketplaces in only one State or Union territory.
- A PAN issued under the Income Tax Act.
- PAN, business address and the chosen state declared on the portal and validated before selling.
- Only one enrolment number per State or Union territory.
- The enrolment number ends from the date you later take a regular GSTIN.
The exemption covers goods only. It does not help a seller who wants national reach, because most marketplace orders from Delhi go to buyers outside Delhi. Read the notification text before you rely on it.
Need help with GST registration for ecommerce sellers? Talk to a chartered accountant in Delhi today. First call is free.
What is Rule 14B GST registration for marketplace warehouses?
Rule 14B lets a seller who already holds a regular GSTIN in its home state register in another state by declaring a marketplace warehouse there as its principal place of business. It was inserted by Notification 05/2026-Central Tax dated 26 October 2026 and applies from 1 November 2026.
Before this, a Delhi seller who wanted stock kept in a fulfilment centre in Haryana, Uttar Pradesh or Maharashtra needed its own principal place of business in that state. Many small sellers could not show one, so they stayed out of faster-delivery programmes. The 57th GST Council meeting on 8 October 2026 recommended the change, and coverage by CAclubindia and Corplawupdates sets out the conditions below. The rule is new, so confirm the live position on the GST portal before you apply.
| Condition | What it means for a Delhi seller |
|---|---|
| Active regular GSTIN in the home state under the same PAN | Your Delhi registration is the anchor |
| No physical presence or regular registration in the new state | The rule is for states where you have no office |
| Home GSTIN not taken under Rule 14A or Rule 9A | Sellers on the 3-day low-risk route must exit it first, reportedly through REG-32 |
| No cancellation proceedings against the home GSTIN | Clear any pending notice in Delhi first |
| Goods supplied only through marketplaces that collect tax at source | No offline or direct sales in that state |
| Written consent of the marketplace whose warehouse is declared | The operator decides within seven working days |
| Output tax on supplies to registered buyers up to ₹2.5 lakh a month | Sales to consumers do not count towards this cap |
| One Rule 14B registration per PAN per state | One warehouse GSTIN in each state |
Sources: CAclubindia and TaxGuru, read 10 November 2026. Secondary sources; check the notification on the portal.
Documents needed for an online seller's GST registration
An online seller files the same GST REG-01 application as any trader, with PAN, promoter identity and photographs, bank proof and proof of the business address. The address must be your own office, shop or home, not the marketplace warehouse, unless you apply under Rule 14B in another state.
Delhi sellers often work from home or a rented godown in Wazirpur, Rohini or Narela. For a rented space, CBIC Instruction 03/2025 says a rent agreement plus one ownership document of the landlord is enough. Our guide to a virtual office for GST registration in Delhi covers when a shared address works and when it fails verification.
| Document | Notes for marketplace sellers |
|---|---|
| PAN of the proprietor, firm or company | Same PAN you will use on the seller account |
| Mobile and email of the authorised signatory | Use ones you control; OTPs come here |
| Photograph and identity of each promoter | JPEG within the portal size limit |
| Address proof of your own premises | Electricity bill, property tax receipt, rent agreement or owner's consent |
| Bank statement, passbook or cancelled cheque | Marketplaces pay settlements into this account |
| Constitution proof for firms, LLPs and companies | Partnership deed or incorporation certificate |
| Marketplace consent and warehouse details | Only for a Rule 14B application in another state |
Source: GSTN document checklist and CBIC Instruction 03/2025, checked November 2026.
How to get GST registration for online selling: step by step
Decide first whether you need a GSTIN or only an enrolment number, then apply on gst.gov.in. A regular GSTIN with Aadhaar authentication can come through within 3 working days on the low-risk route that began on 1 November 2025.
- 1
Map where your buyers are
Check last quarter's orders or your plan. A single order to Gurugram or Noida makes the sale inter-State and rules out the enrolment route.
- 2
Pick the route
Enrolment number for intra-Delhi sellers within the limit, regular GSTIN for everyone else, and Rule 14B later for warehouses in other states.
- 3
Prepare clean scans
Match the name and address exactly with PAN and the electricity bill or rent agreement. Most queries start with a mismatch.
- 4
File REG-01 and authenticate Aadhaar
Fill Part A and Part B, choose the HSN codes for what you sell, and complete Aadhaar authentication on the same day.
- 5
Answer any REG-03 query quickly
Reply in REG-04 within the time on the notice so the application does not lapse.
- 6
Add the GSTIN to your seller account
Update the marketplace seller profile and invoice settings so tax is charged and reported under the new number.
How does marketplace TCS affect your GST?
The marketplace collects tax at source of 0.5% on the net value of taxable sales you make through it: 0.25% CGST plus 0.25% SGST for sales inside a state, or 0.5% IGST for inter-State sales. The rate was cut from 1% with effect from 10 July 2024 by Notification 15/2024-Central Tax, as TaxGuru reported.
Worked example. A Rohini seller of kitchen storage sells goods worth ₹1,20,000 through a marketplace in October, all to buyers outside Delhi, and buyers return goods worth ₹20,000. Net taxable value is ₹1,00,000, so the marketplace collects ₹500 as IGST TCS and pays you the rest after its own fees. That ₹500 shows on the portal as a credit for you to accept and set against your GST payable. Sellers who skip this step leave cash stuck on the portal every month.
Your own returns must then agree with the marketplace's figures. Our GST return filing page explains the monthly and quarterly cycle; Delhi sellers on the quarterly QRMP scheme file GSTR-3B by the 24th day after the quarter.
Can an online seller choose the composition scheme?
Yes, for goods sold within the state. From 1 October 2023 a seller supplying goods through a marketplace may opt for the composition scheme, but only for intra-State supplies. Composition dealers still cannot sell services through a marketplace or ship goods to other states.
That makes composition a narrow fit: a Delhi seller who sells only to Delhi buyers and has crossed the enrolment limit. The change came from the Finance Act 2023 amendment to section 10, explained in TaxGuru's note on 1 October 2023 changes. Compare both options on our GST composition scheme page before you choose.
Common mistakes online sellers make with GST
The costliest errors come from starting to sell before the paperwork fits the sales pattern. Each one below leads either to a blocked seller account or to a GST notice months later.
- Using the enrolment number and then shipping across states. One inter-State order breaks the exemption condition.
- Listing in a second state's warehouse without a registration there. Use Rule 14B or a regular registration first.
- Ignoring TCS credit. Unclaimed TCS is money you have already paid.
- Treating every sale as CGST plus SGST. Orders to buyers outside Delhi carry IGST.
- Wrong address proof. The marketplace warehouse cannot be your home-state principal place of business.
- Applying for Rule 14B while on the 3-day Rule 14A route. Exit that route first, or the application fails.
If a notice has already arrived, start with our GST notice reply service.
Who handles GST registration for online sellers in Delhi?
Two firms in our directory list GST registration and GST returns among their services, and each confirms scope and gives a fixed quote before work starts. Online platforms advertise basic GST registration packages from about ₹399 to ₹1,499 (seen October 2026), plus government fees, which are nil for a GSTIN.
- Khubchandani & Co. Chartered Accountants is a chartered accountant firm that lists GST registration, GST return filing, TDS and bookkeeping.
- Moneymji, at Pearls Business Park in Netaji Subhash Place, registers businesses and runs GST returns and accounting on monthly packages.
Send us your PAN, address proof, a list of the marketplaces you use and where your buyers are. We tell you which route fits, then file it. Compare listed firms on our chartered accountant firms in Delhi page or talk to a GST consultant in Delhi. Sellers from North West Delhi can also visit us; see CA in Rohini for directions.
Frequently asked questions
Do I need GST to sell on Amazon or Flipkart?
Usually yes. Marketplaces that collect tax at source require a GSTIN unless you qualify for the PAN enrolment route, which needs intra-Delhi goods sales only, one state and turnover within the limit. If you plan to ship across India, take a regular GSTIN before listing.
Can I sell on Meesho without GST?
Meesho is a marketplace that collects tax at source, so the same rule applies. A goods seller who meets every condition of Notification 34/2023-Central Tax can sell on an enrolment number. Anyone selling to buyers in other states needs a GSTIN.
What is the GST enrolment number for e-commerce sellers?
It is a number the GST portal issues after validating your PAN, business address and chosen state, letting an exempt small seller supply goods through marketplaces without a GSTIN. You may hold only one per state, and it lapses once you take regular registration.
What is the turnover limit for an e-commerce seller without GST?
The enrolment exemption applies up to the aggregate turnover limit in section 22(1) of the CGST Act, for both the previous and the current financial year. Commentators read this as ₹20 lakh for a Delhi seller. Above it you need a regular GSTIN.
Can I use a marketplace warehouse as my GST address?
Not for your home registration in Delhi. Under Rule 14B, from 1 November 2026, a seller already registered in its home state can declare a consenting marketplace's warehouse in another state as its principal place of business there.
Does Rule 14B apply to services sold online?
No. As reported, Rule 14B covers sellers who supply only goods, and only through marketplaces that collect tax at source. Service providers on platforms follow other rules, so ask us to check your case.
How much TCS does a marketplace deduct?
0.5% of the net value of taxable supplies made through it, since 10 July 2024. Intra-State sales carry 0.25% CGST and 0.25% SGST; inter-State sales carry 0.5% IGST. You accept the credit on the portal and use it against your tax.
Is there a government fee for GST registration as an online seller?
No. The GST portal charges nothing for a new GSTIN or an enrolment number. You pay only a professional fee if you use a consultant, and we give a fixed quote before any work starts.
Which GST return does an online seller file?
A regular seller files GSTR-1 and GSTR-3B like any trader, monthly or under the quarterly QRMP scheme. In Delhi, monthly GSTR-1 is due on the 11th and monthly GSTR-3B on the 20th of the next month.
Can I start selling while my GST application is pending?
Most marketplaces will not activate listings until a valid GSTIN or enrolment number is on the seller account. Apply first. With Aadhaar authentication, low-risk applicants can get approval within 3 working days.