Section 52 - Collection of tax at source of CGST ACT, 2017

             52. (1) Notwithstanding anything to the contrary contained in this Act, every electronic
commerce operator (hereafter in this section referred to as the “operator”), not being an
agent, shall collect an amount calculated at such rate not exceeding one per cent., as may be
notified by the Government on the recommendations of the Council, of the net value of
taxable supplies made through it by other suppliers where the consideration with respect to
such supplies is to be collected by the operator.
            Explanation.––For the purposes of this sub-section, the expression “net value of
taxable supplies” shall mean the aggregate value of taxable supplies of goods or services or
both, other than services notified under sub-section (5) of section 9, made during any month
by all registered persons through the operator reduced by the aggregate value of taxable
supplies returned to the suppliers during the said month.
               (2) The power to collect the amount specified in sub-section (1) shall be without
prejudice to any other mode of recovery from the operator.
               (3) The amount collected under sub-section (1) shall be paid to the Government by the
operator within ten days after the end of the month in which such collection is made, in such
manner as may be prescribed.
               (4) Every operator who collects the amount specified in sub-section (1) shall furnish a
statement, electronically, containing the details of outward supplies of goods or services or
both effected through it, including the supplies of goods or services or both returned through
it, and the amount collected under sub-section (1) during a month, in such form and manner
as may be prescribed, within ten days after the end of such month.
               (5) Every operator who collects the amount specified in sub-section (1) shall furnish
an annual statement, electronically, containing the details of outward supplies of goods or
services or both effected through it, including the supplies of goods or services or both
returned through it, and the amount collected under the said sub-section during the financial
year, in such form and manner as may be prescribed, before the thirty first day of December
following the end of such financial year.
                (6) If any operator after furnishing a statement under sub-section (4) discovers any
omission or incorrect particulars therein, other than as a result of scrutiny, audit, inspection
or enforcement activity by the tax authorities, he shall rectify such omission or incorrect
particulars in the statement to be furnished for the month during which such omission
or incorrect particulars are noticed, subject to payment of interest, as specified in
sub-section (1) of section 50:
               Provided that no such rectification of any omission or incorrect particulars shall be
allowed after the due date for furnishing of statement for the month of September following
the end of the financial year or the actual date of furnishing of the relevant annual statement,
whichever is earlier.
              (7) The supplier who has supplied the goods or services or both through the operator
shall claim credit, in his electronic cash ledger, of the amount collected and reflected in the
statement of the operator furnished under sub-section (4), in such manner as may be
prescribed.
              (8) The details of supplies furnished by every operator under sub-section (4) shall be
matched with the corresponding details of outward supplies furnished by the concerned
supplier registered under this Act in such manner and within such time as may be prescribed.
               (9) Where the details of outward supplies furnished by the operator under
sub-section (4) do not match with the corresponding details furnished by the supplier under
section 37, the discrepancy shall be communicated to both persons in such manner and
within such time as may be prescribed.
               (10) The amount in respect of which any discrepancy is communicated under
sub-section (9) and which is not rectified by the supplier in his valid return or the operator in

his statement for the month in which discrepancy is communicated, shall be added to the
output tax liability of the said supplier, where the value of outward supplies furnished by the
operator is more than the value of outward supplies furnished by the supplier, in his return
for the month succeeding the month in which the discrepancy is communicated in such
manner as may be prescribed.
              (11) The concerned supplier, in whose output tax liability any amount has been added
under sub-section (10), shall pay the tax payable in respect of such supply along with
interest, at the rate specified under sub-section (1) of section 50 on the amount so added
from the date such tax was due till the date of its payment.
               (12) Any authority not below the rank of Deputy Commissioner may serve a notice,
either before or during the course of any proceedings under this Act, requiring the operator
to furnish such details relating to—
                    (a) supplies of goods or services or both effected through such operator during
any period; or
                    (b) stock of goods held by the suppliers making supplies through such operator
in the godowns or warehouses, by whatever name called, managed by such operator
and declared as additional places of business by such suppliers,
as may be specified in the notice.
             (13) Every operator on whom a notice has been served under sub-section (12) shall
furnish the required information within fifteen working days of the date of service of such
notice.
            (14) Any person who fails to furnish the information required by the notice served
under sub-section (12) shall, without prejudice to any action that may be taken under
section 122, be liable to a penalty which may extend to twenty-five thousand rupees.
                 Explanation.—For the purposes of this section, the expression “concerned supplier”
shall mean the supplier of goods or services or both making supplies through the operator.

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