CAIT seeks probe into alleged avoidance of tax liability by Amazon, Flipkart

Traders' body CAIT on Sunday appealed to Finance Minister Nirmala Sitharaman to initiate a high-level enquiry to probe alleged avoidance of pending tax liability by Amazon and Flipkart. The Confederation of All India Traders (CAIT) wrote to the finance minister alleging that e-commerce companies, including Amazon and Flipkart, were selling various products on their platforms at a price much lower than fair market value.

READ | 'RCEP Offer Not As Much As Our Aspirations,' Says Finance Minister Nirmala Sitaraman

READ | Institute To Impart Training In Railways Finances Opened In Hyderabad

It also said that their act is in utter disregard of the provisions of FDI policy and causing tax loss. "Since FDI is governed by the FEMA & Reserve Bank of India, it is demanded that another enquiry may also be initiated on the pattern of receivable funding and its disbursement," CAIT said. The traders' body said the concept of charging GST at the selling price does not hold good in such kind of supplies where the fundamental of fair market value is not observed. In this way instead of charging value on the actual price they are charging GST on much-lowered price and hence causing huge GST revenue loss to both Central and State government, CAIT alleged.

READ | UP Govt Will Ensure Return Of UPPCL Employees' Money Invested In DHFL

SHOCKER | Money Showers On The Street During IT Raid In Office Premise In Kolkata