Small businesses that sell goods through e-commerce platforms fear a recently launched drive against fake Goods and Services Tax (GST) registrations could hit them hard because many of them run operations through co-working spaces or shared warehouses practices that may pose a hurdle during verification. The campaign seeks to eliminate fake input tax credits, which the authorities blame for revenue losses. “Today many small e-commerce entrepreneurs are operating from their home or from a co-working space where many businesses share their addresses,” said Kumar. Kumar also said many small businesses do not have the resources to hire professionals and deploy technology to automate compliance requirements. Due to improved efficiency in GST system, revenue collection has been going up.

Source: Mint May 24, 2023 06:48 UTC