Recently the Madhya Pradesh government has decided to impose 6 percent entry tax on the e-commerce firms. The Government has planned to introduce a Bill in the upcoming monsoon session to amendment laws, so as to bring ecommerce firms under the tax regime.
The Madhya Pradesh Government which is aiming to receive at least ₹300 crore from this move.
“We would bring the e-commerce firm under tax regime and impose 6 per cent levy by bringing a Bill to amend in the monsoon session, which is going to start from tomorrow,” reportedly said Madhya Pradesh Finance Minister Jayant Malaiya.
He further added: “The business of e-commerce companies is increasing day-by-day and it is affecting the traditional shopkeepers, who pay us entry tax along with other levies.
“So, we have decided to bring e-commerce under the gambit of tax regime, so that there should be equal collection from both channels — traditional brick & mortar shops and e-commerce trade.”
In the first week of this month, the Council of Ministers in a meeting held under Chief Minister Shivraj Singh Chauhan has already approved to bring the amendment legislation for imposing 6 per cent entry tax on e-commerce.
Earlier Tax Scan had reported, Flipkart and Amazon has challenged State Entry Tax in Gujarat High Court.
