Invoicing & Tax
GST & Tax Policy
Last updated: 5 July 2026
KalaCraftWorks operates as a marketplace facilitator (an e-commerce operator) for sellers in India. This page explains how tax is applied to your orders and payouts — the GST charged to buyers, the invoices we issue, and the GST TCS and income-tax TDS that we deduct from seller settlements. It supplements our Terms of Service and Artist & Seller Terms.
1. GST on your purchase (buyers)
GST is charged at 12% on the product value of every order and shown as a single consolidated tax line at checkout, alongside any shipping charge. Your order total is therefore product value + shipping + GST. The rate shown at checkout is the rate applied to your invoice.
2. Your buyer tax invoice
Once your payment is confirmed, a tax invoice is available from your order details page. It shows the itemised products, the seller(s) supplying them, the GST charged and the amount paid. SoftwizCircle issues one consolidated invoice per order in its role as marketplace facilitator; the items themselves are supplied by the individual sellers listed on the invoice. You can download or print the invoice for your records.
3. Platform commission & GST (sellers)
We charge a platform commission on each sale (see How payouts work). Commission is a taxable service, so 18% GST is charged on the commission amount. Both the commission and its GST are shown on the commission tax invoice attached to each payout.
4. TCS & TDS deducted on payouts (sellers)
As a marketplace operator we are required to deduct two statutory amounts from seller settlements:
- TCS — 1% under Section 52 of the CGST Act, collected on the net taxable value of your sales (sales less returns) and deposited with the GST department against your GSTIN.
- TDS — 1% under Section 194-O of the Income-tax Act, deducted on the gross sales value and deposited against your PAN.
You can claim credit for both amounts when filing your GST and income-tax returns. They appear as separate lines on your commission tax invoice so your net payout is fully transparent.
5. How your net payout is calculated
For each payout batch, your net bank transfer is calculated as:
Gross sales − platform commission − 18% GST on commission − 1% TCS − 1% TDS − any refund adjustments = net payable
The full breakdown for every payout is on your Earnings & Payouts page, where you can also download the commission tax invoice for each payout.
6. Registration & responsibility
Sellers are responsible for their own GST registration and tax compliance where applicable. Provide your PAN (required) and GSTIN (if registered) in your payout & KYC details so we can correctly report TCS/TDS. Rates and rules shown here reflect current Indian tax law and may change; the rate printed on a specific invoice always governs that transaction.
7. Questions
For any invoice or tax query, email softwizadmin@softwizcircle.com. This page is for general information and is not tax advice; please consult your tax advisor for your specific situation.
KalaCraftWorks is owned and operated by SoftWiz Circle. Questions about this policy? Contact us at softwizadmin@softwizcircle.com.