Section 52 - Collection of tax at source.

Collection of tax at source requires e commerce operators to collect a notified percentage on taxable supplies where they collect payment.

Collection of tax at source requires every electronic commerce operator (not being an agent) to collect, at a notified rate not exceeding one per cent, an amount on the net value of taxable supplies where the operator collects consideration; the operator must remit collections within ten days after month end and furnish prescribed monthly and annual electronic statements. Suppliers may claim credit for amounts so collected; operator reports are matched with supplier returns, discrepancies communicated and unresolved excesses added to the supplier's output tax liability with interest. Authorities may compel operators to provide supply and stock details, noncompliance attracting a penalty.