Update · GST · 6 min read

New GST slab for e-commerce sellers: what changed on 1 April 2026

The 55th GST Council meeting reshaped composition scheme rules for online sellers. Read this before you file GSTR-3B next month.

CA Priya Bhat
CA Priya Bhat
Tax & FEMA Advisory · 15 yrs · Published 30 May 2026

If you sell on Amazon, Flipkart, Meesho, Myntra, or your own Shopify store, the 1 April 2026 changes will directly affect your working capital cycle. Here's the plain-English summary.

1. Composition scheme now open (with a catch)

Previously, e-commerce operators couldn't opt for composition. From 1 April, sellers with turnover under ₹1.5 Cr can — but only for supplies made through platforms that collect TCS at 1%. Selling through your own website? You're out.

2. TCS threshold raised to ₹5,000 per transaction

Small orders below ₹5,000 no longer attract TCS. That means Amazon/Flipkart will start passing more to your bank account earlier — but the reconciliation in GSTR-2B just got trickier.

3. Auto-populated GSTR-3B rollout

GSTN's auto-populated 3B is now the default. You can still edit, but any edits >5% variance trigger a mandatory reason field. Expect more scrutiny notices.

What to do this month

  • Reconcile GSTR-1 vs 3B vs 2B for FY 25-26
  • Move eligible SKUs to composition scheme (Form CMP-02)
  • Re-check ITC on marketplace commissions
  • Book a call with a Liquetax GST expert if turnover is close to the ₹1.5 Cr line
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