iTechGuides is reader-supported. When you buy through links on our site, we may earn an affiliate commission. As an Amazon Associate I earn from qualifying purchases. Learn more
A 5% GST treatment for services provided through major cab and delivery platforms has been reported, but the GST Council’s formal action was a recommendation to clarify e-commerce operator liability—not confirmation that an amended law is already in force. The reported coverage concerns services, not every product sold on Amazon or Flipkart.
What the GST Council recommended
At its 57th meeting on October 8, 2026, the GST Council recommended amending Section 9(5) of the CGST Act, 2017. The stated aim was to clarify an e-commerce operator’s (ECO’s) liability to pay tax on notified services, irrespective of the business model used. The Council’s official announcement describes this as a recommendation.
| # | Preview | Product | Price | |
|---|---|---|---|---|
| 1 |
|
Amazon eGift Card - Amazon Logo | $50.00 | Buy on Amazon |
| 2 |
|
Amazon eGift Card - Happy Birthday | $50.00 | Buy on Amazon |
| 3 |
|
Amazon eGift Card - Birthday Wishes | $50.00 | Buy on Amazon |
| 4 |
|
Amazon Physical Gift Card in a Gift Box - Better than Gold - Black | $50.00 | Buy on Amazon |
| 5 |
|
Amazon Physical Gift Card in a Mini Envelope - Candlelight Celebration | $50.00 | Buy on Amazon |
The distinction matters: the announcement does not establish that Parliament enacted the amendment, that a related notification was issued, or that a commencement date was set. A recommendation alone does not tell customers when any clarified treatment takes effect.
Do these 3 things before closing this tab:
1Repair Windows errors before they cause bigger problems2Fix the driver behind crashes, sound loss and screen glitches3Clear out junk files and repair common Windows errorsWhat the report says about the 5% rate
In a report published October 9, 2026, NDTV Profit quoted CBIC Member for GST Sanjay Mangal describing a uniform 5% GST treatment for cab aggregators and delivery platforms, regardless of how their businesses are structured. The report named Ola and Uber, along with Swiggy, Zomato, Flipkart and Amazon. This rate and platform list are the report’s characterization of the clarification; they are not stated in the Council’s recommendation wording.
#1 Best Overall
- Amazon.com Gift Cards never expire and carry no fees.
- Multiple gift card designs and denominations to choose from.
- Redeemable towards millions of items store-wide at Amazon.com or certain affiliated websites.
- Available for immediate delivery. Gift cards sent by email can be scheduled up to a year in advance.
- No returns and no refunds on Gift Cards.
The Council’s official language refers to tax liability for “notified services.” The final legal text and any notification would determine the precise services and scope. The report’s list should therefore not be read as proof that every service offered by every named company has identical treatment.
What this could mean for rides and deliveries
Ola and Uber rides
The report describes 5% GST treatment for cab-aggregator services, including Ola and Uber, regardless of business model. The Council recommendation addresses which party is liable to pay tax on notified services through an ECO; it does not, by itself, specify how a particular ride’s fare or tax line will appear to a customer.
Rank #2
- Amazon.com Gift Cards never expire and carry no fees.
- Multiple gift card designs and denominations to choose from.
- Redeemable towards millions of items store-wide at Amazon.com or certain affiliated websites.
- Available for immediate delivery. Gift cards sent by email can be scheduled up to a year in advance.
- No returns and no refunds on Gift Cards.
Swiggy, Zomato and platform delivery services
The report also names Swiggy and Zomato among delivery platforms covered by the reported clarification. The formal recommendation is about notified services and ECO liability, so the precise service scope depends on the final legal text.
Free tools Windows power users keep installed
One-click scans. No signup required.
Amazon and Flipkart
The report names Amazon and Flipkart in connection with platform delivery services. It does not establish a new 5% GST rate on every physical product sold through either marketplace. The Council announcement speaks about notified services, not a blanket rate change for marketplace goods.
Rank #3
- Amazon.com Gift Cards never expire and carry no fees.
- Multiple gift card designs and denominations to choose from.
- Redeemable towards millions of items store-wide at Amazon.com or certain affiliated websites.
- Available for immediate delivery. Gift cards sent by email can be scheduled up to a year in advance.
- No returns and no refunds on Gift Cards.
What is not established yet
- Enactment: The cited Council release records a recommendation, not an enacted amendment.
- Notification and start date: The release does not show a notification or effective date.
- Exact scope: The formal wording refers to notified services; the eventual legal text will establish which services and operators are covered.
- Customer price impact: No cited source quantifies any effect on fares, delivery charges, consumers or platform revenue.
Until the enacted law and applicable notification are available, the sound reading is that the Council recommended a clarification, while contemporaneous reporting attributed a uniform 5% treatment to the CBIC clarification.
Quick Recap
Best Value
- Gift Card is redeemable towards millions of items storewide at Amazon.com
- Gift Card has no fees and no expiration date
- Gift Card is affixed inside a mini envelope
- Free One-Day Shipping (where available)
- Scan and redeem any Gift Card with a mobile or tablet device via the Amazon App
Rank #4
- Gift Card is redeemable towards millions of items storewide at Amazon.com
- Gift Card has no fees and no expiration date
- Gift Card is nested inside a specialty gift box
- Free One-Day Shipping (where available)
- Scan and redeem any Gift Card with a mobile or tablet device via the Amazon App
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
