Chinese sellers accused of evading import duty on Amazon India

By

Maverick Martins

Published
Dec 19, 2018

Swadeshi Jagran Manch (SJM) has alleged that Chinese sellers are evading taxes on Amazon's India e-commerce platform which is causing damage to domestic sellers.
 

SJM along with the All India Online Vendors Association (AIOVA) has sought the government’s intervention in this matter and requested for a meeting with the commerce minister Suresh Prabhu to resolve the issue.
 
Both the associations have accused Chinese sellers of evading taxes by using the international gift route and want the government to do away with the gift policy.

“Chinese sellers are evading taxes using the international gift route. Currently, four gifts under Rs 5,000 each per year per person is exempted from import duties. But some of the Chinese sellers are said to be marking every sale as a gift,” SJM national co-convener Ashwani Mahajan told TOI.
 
Reacting to the accusations, An Amazon India spokesperson said: "Amazon will always be compliant with local laws, have robust processes to ensure this and zero tolerance for any non-compliant seller. We continue to invest in systems and processes that ensure customers have access to high-quality selection and experience from sellers on Amazon."
 
Amazon India’s global selling program allows sellers from across the globe to sell products on its platform however all import taxes are included in the final pricing of these products.
 
The Chinese sellers are not part of this global store, which enables them to find loopholes and take advantage of the gift policy as they are eligible for the same after being registered as independent sellers on the Indian marketplace.