Home List Manuals Income TaxInternational TaxationEqualisation Levy This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
Charge of Equalisation levy on E-commerce supply or services - Section 165A of the Finance Act, 2016 - International Taxation - Income TaxExtract Charge of Equalisation levy on E-commerce supply or services - Section 165A of the Finance Act, 2016 (1) Chargeability of Equalisation levy on E-commerce supply or services: Equalisation would be chargeable @2 % on the amount of consideration received or receivable by an e-commerce operator from e-commerce supply or services made or provided or facilitated by it- to a person resident in India; or to a non-resident in the specified circumstances as referred to in section 165A(3); or to a person who buys such goods or services or both using internet protocol address located in India. (2) Non-Chargeability of equalisation levy - where the e-commerce operator making or providing or facilitating e-commerce supply or services has a permanent establishment in India and such e-commerce supply or services is effectively connected with such permanent establishment; where the equalisation levy is leviable under section 165 ; or sales, turnover or gross receipts , as the case may be, of the e-commerce operator from the e-commerce supply or services made or provided or facilitated is less than ₹2 crore rupees during the previous year. [ Section 165A(2) ] (3) For the purposes of this section 165A, specified circumstances mean sale of advertisement, which targets a customer, who is resident in India or a customer who accesses the advertisement though internet protocol address located in India; and sale of data, collected from a person who is resident in India or from a person who uses internet protocol address located in India. Consideration received or receivable from e-commerce supply or services shall include consideration for sale of goods irrespective of whether the e-commerce operator owns the goods, so, however, that it shall not include consideration for sale of such goods which are owned by a person resident in India or by a permanent establishment in India of a person non-resident in India if sale of such goods is effectively connected with such permanent establishment. consideration for provision of services irrespective of whether service is provided or facilitated by the e-commerce operator, so, however, that it shall not include consideration for provision of services which are provided by a person resident in India or by permanent establishment in India of a person non-resident in India if provision of such services is effectively connected with such permanent establishment. [ Section 165A(3) ]
|