Flipkart in trouble over tax issues


Thiruvannanthapuram: Flipkart lands itself in trouble over tax issue. In a sign of continuing tax trouble for e-commerce in India, the Kerala state department has fined up to Rs 54 crore on a slew of e-retail players for evasion of sales tax in 2012-13 and 2013-14, media reports said today.

The companies that are in the firing line are Flipkart; Jabong; Vector E-commerce Pvt Ltd, which has a stake in Myntra; and Robemall Apparels Pvt Ltd, which operates garments retailer zovi.com, said a report in the Malayalam daily Malayala Manorama. According to the report, the highest fine has been imposed on Flipkart – Rs 47.15 crore. Meanwhile, Jabong has been fined Rs 3.89 lakh, Vector E-commerce Rs 2.23 crore and Robemall Apparells Rs 36 lakh.

The sales tax department has said the companies have been penalised for not evading taxes for the last two years and that they are looking at other online retailers too. Once found guilty, they will also bee fined, tax officials have told the newspaper.