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Section 9(5) of CGST Act 2017 is a charging section under GST for supply of notified services.

This section deals with taxability of supply of services, the output tax of which shall be paid by the electronic commerce operator {in short, E-COM} if such services are supplied through it, (even though E-COM is not an actual supplier).

All the provisions of this Act shall apply to such electronic commerce operator as if he is the supplier of such services and liable for paying the tax in relation to the supply of such services.

In this model, E-Commerce operator owns a digital platform where he offer the “supplier of services” to list their services. And, then offer the same to customers (preferably) in its own name (but it is not mandatory in every case). Thus, E-commerce operator itself assumed as supplier of such services.

As per Section 24 of CGST Act, any E-COM supplying services as notified under section 9(5) of CGST Act 2017, it is required to get registration under GST laws as supplier of these services even if turnover does not exceed threshold limit.

In case service is notified under section 9(5), then actual supplier need not registration under GST laws subject to the conditions mentioned for each notified service.

e.g. in case of taxi business, cab-owner need not to get registered under GST even if his turnover exceeds threshold limit. However, in case of Hotel (accommodation) business, if the turnover exceeds threshold limit, hotel owner needs to get registration for GST.

Additional points:-

Where an electronic commerce operator does not have a physical presence in the taxable territory, any person representing such electronic commerce operator for any purpose in the taxable territory shall be liable to pay tax.

Where an electronic commerce operator does not have a physical presence in the taxable territory and also he does not have a representative in the said territory, such electronic commerce operator shall appoint a person in the taxable territory for the purpose of paying tax and such person shall be liable to pay tax.

Section 2(45) of CGST Act, 2017 defines the term “electronic commerce operator”. As per this section, “Electronic commerce operator” means any person who owns, operates or manages digital or electronic facility or platform for electronic commerce;

Where “electronic commerce” means the supply of goods or services or both, including digital products over digital or electronic network; {Section 2(44) of CGST Act 2017}

In today’s world, trade through E-COM operator has a significant share in retail market. Companies like OYO, Swiggy, Zomato, UBER, OLA, Urban-Clap are the prominent examples of Digital/Electronic Network who are liable to pay tax under section 9(5) of CGST Act.

List of services notified under this section

Right now, there are three services are notified under this section:-

(i) Passenger Transport service : Services by way of transportation of passengers by a radio-taxi, motorcab, maxicab and motor cycle;

With effect from 1st January 2022, the scope of Passenger Transport Service expanded to include service provided through Omnibus and any other motor vehicle. (N/N 17/2021 dated 18.11.2021)


(a) “radio taxi” means a taxi including a radio cab, by whatever name called, which is in two-way radio communication with a central control office and is enabled for tracking using Global Positioning System (GPS) or General Packet Radio Service (GPRS);

(b) “maxicab”, “motorcab”, motor cycle, motor vehicle and omnibus shall have the same meanings as assigned to them respectively in clauses (22), (25), (27), (28) and (29) of section 2 of the Motor Vehicle Act, 1988 (59 of 1988).

This service was notified with effect from 1st July 2017 through notification CGST-R-17-2017 dtd 28th June 2017.

(ii) Accommodation Services : Services by way of providing accommodation in hotels, inns, guest houses, clubs, campsites or other commercial places meant for residential or lodging purposes, except where the person supplying such service through electronic commerce operator is liable for registration under sub-section (1) of section 22 of the said Central Goods and Services Tax Act.

This service was also notified with effect from 1st July 2017 through notification CGST-R-17-2017 dtd 28th June 2017.

For Tax Rate in Accommodation sector, ReferGST Rates-Accommodation sector

(iii) Housekeeping Services : Services by way of house-keeping, such as plumbing, carpentering etc, except where the person supplying such service through electronic commerce operator is liable for registration under sub-section (1) of section 22 of the said Central Goods and Services Tax Act.

This service was notified with effect from 22nd August 2017 through notification CGST-R-23-2017 dtd 22nd August 2017.

(iv) Restaurant Services (Cloud Kitchen) :- Supply of restaurant service other than the services supplied by restaurant, eating joints etc. located at specified premises.

“Specified premises means premises providing hotel accommodation service having declared tariff of any unit of accommodation above seven thousand five hundred rupees per unit (Rs 7500/- per unit) per day or equivalent.”

This service is added With effect from 1st January 2022 vide N/N 17/2021 dated 18.11.2021

Read our other article for various types of E-commerce operators under GST : E-Commerce Operators under GST – Various categories

Certain FAQs on Restaurant Services provided through E-commerce Operators (E-COM)

1) Whether a Restaurant is required to register under GST where services supplied through E-COM only

Where a Restaurant is supplying services through E-COM only, he is not required to get registered under GST. In case, he is already registered, he may continue with such registration or get themselves de-registered under GST.

2) Who will issue invoice in respect of restaurant service supplied through E-COM – whether by the restaurant or by the ECO?

The invoice in respect of restaurant service supplied through E-COM under section 9(5) will be issued by ECO.

3) In case of Registered person, how to report such supplied through E-COM in GSTR-3B  and in GSTR-1?

Registered persons supplying restaurant services through E-COM under section 9(5) will report such supplies of restaurant services made through ECOs in Table 8 of GSTR-1 and Table 3.1 (c) of GSTR-3B, for the time being.

4) Would ‘restaurant service’ and goods or services other than restaurant service sold by a restaurant to a customer under the same order be billed differently? Who shall be liable for raising invoices in such cases?

Liability to pay GST and and other compliances in respect of supplies other than ‘restaurant service’ through the E-COM, shall continues to be lie with the respective suppliers. It includes issuance of invoice to customer also.

Thus, Invoice for non -restaurant services shall be issued by respective supplier only, even if sold through E-COM. Here, E-COM shall be liable to collect tax at source (TCS) on such supplies. Thus, it is advisable that E-COM raises separate bill on restaurant service in such cases where E-COM provides other supplies to a customer under the same order.

5) Whether the Restaurant will charge any Tax on Restaurant services supplies made to E-COM ?

No, for restaurant, said services shall be considered as exempt supplies/Non-GST Supplies.

6) What would be the aggregate turnover of person supplying ‘restaurant service’ through E-COM?

It is clarified that the aggregate turnover of person supplying restaurant service through E-COM shall be computed as defined in section 2(6) of the CGST Act, 2017 and shall include the aggregate value of supplies made by the restaurant through ECOs. Accordingly, for threshold consideration or any other purpose in the Act, the person providing restaurant service through ECO shall account such services in his aggregate turnover.


  1. 1. Is there a full list of services that come under housekeeping services of Section 9(5)? The notification leaves it little open ended.
    2. Can mechanic shops (like small TV repair shops, scooter mechanic shops, electrical repair shops) that are below the treated when supplying through a e-commerce operator use the threshold for services? Is it a supply of service or goods, as they may replace damaged parts while repairing the equipment?

  2. If the Company has it’s own website and it sells its products through such website. whether such sale will be treated as E-Commerce sale?

    1. Yes, this is E-Commerce Sale. However, TCS provisions would not apply here.. It is strongly advisable to consult your Tax advisor before acting on this.

    2. No, If a Company has its own website then it is not require to collect TCS because it si not fall within the defination of E- Commerce Operator

  3. Please advice if i build my own website where i will offer air tickets booking, hotel bookings and bus booking services. In which i get some commision from the main company.
    In short passenger will pay the amount which in turn the whole amount gets transfer to respective airline or hotel owners and in turn i get some commision.
    Kindly advice in this case do i need gst registration if my turnover is below 20 lakhs

    1. You are acting as an intermediary/agent in this business model. You are required to get registration under section 24(vii) of CGST Act 2017 even if your turnover is below 20 Lakhs..

  4. Dear Sir,

    I have statrted an online site which provides Puja (worship) services by Pandits (preists) through my website. At present my annual turnover is not even 1 lakh. Is Puja service come under Services notified under Section 9(5) of CGST Act 2017 or not? is Gst registration is mandatory for me? please clarify.

    1. Your service not liable under section 9(5). However, you are required to registered under Section 24(x) and under Section 52 of CGST Act 2017.

    1. e-Commerce operator is required to register under GST laws in case of notified services..

  5. sir
    Resturant registered under GST supplying food through swiggy portal.

    1. Whether resturant has to pay GST on the sales to Swiggy.
    2. TCS deducted by Swiggy can be set off against tax liability
    3. Last 2 months supply of food (sales) through swiggy portal happened
    how to show in GSTR1 and GSTR3B.

    Please give your reply at the earliest to my mailid pnarayanan57@gmail.com

  6. If any e-commerce operator provide services
    Like home decoration in occasion of birthday, marriage etc
    Is this service cover under section 9(5)

  7. home cooks are selling home made food through e-commerce platform. whether such home cooks are required to get GST Registration?

  8. Hi,
    I have query regarding Ecom operator. Ecommerce operator who deals with Rental Equipment service such as Home appliances, AC, Computer, Laptop through their marketplace site where seller are selling the service to customer via the marketplace platform are liable to deduct TCS. We want to know whether this Ecommerce Rental service operator are liable to deduct TCS from their Seller who are selling rental service through their platform. Also is it mandatory for thsi ecom operator seller to registered in GST when turnover is not exceeding 10/20 lakhs.

  9. Received a service bill without any GST. In this case Do we have to cut 10 % GST and have to pay the balance amount ? Please suggest, In that bill under the section 9 (5) RCM is applicable. What does it mean. Need a clarification.

  10. What happens in case of B2B sales? Who would be liable for GST u/s 9(5). Say the supplier has an agreement with the ECO1. ECO1 is into both B2C and B2B business. For B2C- ECO1 will be liable to take care of GST. for B2B, he passed on the inventory to ECO2 and it becomes a B2C sale for ECO2. Who in this case would be liable to take care of GST u/s 9(5). For TCS u/s 52 of the CGST Act, it was clearly mentioned in the FAQs issued then that in the given scenario, ECO1 would be liable to take care of TCS, however there are no such clarifications/FAQs issued yet on this for 9(5).

    1. Till date, only services are notified under Section 9(5). All the services are of such nature where only one ECO is there for one transaction and the services are directly routed thru only that ECO.

  11. My question is with regard to definition of e-commerce operator? Does Shares and Crypto trading platforms (i.e. WazirX, Zerodha) are come under the definition of e-commerce or not? If yes, how to comply the provisions of TCS under GST, as the supplier of services does not have any GST number, due to one time transactions.

  12. Respected Sir
    Resturant registered under GST supplying food through ecom (Zomato)

    1. TCS deducted by Zomato on the items such as Shakes, Cold Coffee With Ice Cream which our own prepared us (not purchased from anywhere, but icecream is only purchased one) can i get List of eatbles against deductiong of TCS by Zomato in restaurants.

    2. One item was wrong delivered and its TCS also duducted and refunded to us andsaid that you want to pay GST on this item.

    3. Rejected orders through Zomato are liable us for pay GST.?

    Kindly pr

  13. My question is One of my customer suppling medicines through E commerce operators and he is billing directly to customers on IGST/CGST/SGST which ever is applicable and pay the tax to the government. In which column of GSTR1 & 3 i have report this sales and pay tax sir. since consumers are un registered as of now i am showing in B2C column only. Is it correct or not

  14. Services supplied through ECO.
    How should we report it in GSTR-1?
    Shall we show it in column 8 as exempt supplies? Because as per section 9(5), it is considered as if the ECO is supplier of services.

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