How to Claim Flipkart TDS and TCS Credit

Two deductions, two different credits

Sellers often treat TDS and TCS as one line called tax deducted. They are separate, and the claim route differs.

• TDS under Section 194-O (Income Tax Act): the e-commerce operator deducts tax on the gross amount of sales facilitated for you. It is your income tax prepayment. You claim it as credit in your income tax return.
• TCS under Section 52 of the CGST Act: the operator collects tax at source on net taxable supplies and deposits it with the government. It is a GST credit that lands in your electronic cash ledger.

Rates, thresholds, exemptions and the base on which each is calculated have changed over time. Do not rely on a blog post, including this one. Check the current rate in the Income Tax Act provisions and CBDT notifications, the CGST notifications, your Flipkart seller agreement, and confirm with your tax adviser.

Where to find the deductions in Flipkart data

Start with what Flipkart has actually deducted, not what you expect it to deduct.

1. Download the settlement or payment reports from Seller Hub for the period. Look for the columns or line items showing TDS and TCS. Names vary by report format, so check the headers.
2. Download the tax documents Flipkart provides, such as TDS certificates (Form 16A) and any TCS statements, from the relevant section of Seller Hub.
3. Note the PAN and GSTIN Flipkart holds for you. A mismatch here is the commonest reason credits go missing.

Keep these files by month. You need them later to explain differences.

How to claim TDS under Section 194-O

1. Check Form 26AS or the Annual Information Statement (AIS) on the income tax portal. Flipkart's TDS appears only after it files its quarterly TDS return, so recent months may be absent.
2. Compare totals from your settlement reports with the TDS shown against Flipkart's TAN. Do this quarter by quarter, since returns are filed quarterly.
3. Download Form 16A and confirm the amount, PAN and period match the portal.
4. Claim the credit in your ITR using the figures that appear in Form 26AS/AIS. Your tax adviser should confirm which year the credit belongs to.
5. Raise a ticket with Flipkart for any deduction that appears in settlements but not in 26AS, quoting order or settlement references, PAN and quarter.

If you are a smaller seller, check with your adviser whether any exemption or lower deduction provision applies to you under the current law, and what documentation Flipkart needs.

How to claim GST TCS credit

1. Check your GST portal for TCS details reported by the operator through its GSTR-8 filing. The statements where it shows up have changed over time, so follow the current portal path.
2. Match to settlements: compare the TCS in Flipkart's settlement reports with the portal figure for the same tax period and state.
3. Check your electronic cash ledger. Eligible TCS credit is reflected there, and you can use it to pay GST liability, subject to the current rules.
4. Act on any portal step required to accept or reconcile the credit, as per current GST procedure.
5. Escalate gaps to Flipkart if TCS was collected but not reported against your GSTIN.

Timing matters. Operators report for a month by the due date in the following month, so a settlement in the last days of a month can show up in a later period.

Build a monthly reconciliation, not an annual scramble

Most unclaimed credits are found only at return time, when the operator's filings are hard to chase. A monthly check keeps it manageable.

For brands with several marketplaces and thousands of orders, doing this in spreadsheets gets slow. MarketplaceMetrics by Fundle reconciles marketplace sales and settlements and tracks recovery cases, so deduction gaps do not get lost between finance and the ecommerce team. Whether Flipkart data is covered for your setup is a scope discussion.

Common mismatches and how to fix them

• Deducted but not in 26AS: the operator may not have filed the quarter's return yet, or used a wrong PAN. Wait until after the filing date, then raise a ticket.
• Different base amount: Flipkart may calculate on a different base than you expect, for example with or without GST or after adjusting returns. Check the basis in your agreement and the law.
• Returns and cancellations: deductions on sales that were later returned may be adjusted in a later period. Track them against the return order.
• Multiple GSTINs: TCS can be reported against the wrong state registration. Confirm each GSTIN separately.
• Higher deduction: a missing or inoperative PAN can trigger higher deduction under the law. Fix the PAN details early.