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Amazon vs Flipkart vs Meesho for Sellers: Where Should You Start?

✓ 6 official and published sources✓ Written for Indian sellers and small businesses

For a new seller, the right first marketplace is the one where your product, price and paperwork fit. Compare the full cost per kept order, not the headline commission. The tax side is the same on all three: 0.5% GST TCS, 0.1% income tax TDS and one GSTR-1. Start on one, learn its reports, then add the next.

Key points
  • Fee structures differ: Amazon charges referral, closing and shipping fees; Flipkart charges commission and per-order fees; Meesho promotes zero commission but charges shipping.
  • As on 12 Nov 2026, Amazon's fee page shows a 0% referral fee up to Rs 1,000 in most categories.
  • TCS at 0.5% and TDS at 0.1% apply in the same way on every marketplace, and both come back to you.
  • The law lets a seller without a GSTIN sell within their own state through a marketplace on an enrolment number. Each marketplace decides whether it accepts this.
  • Every marketplace you add means one more sales report and one more TCS figure to match each month.
In this guide
  1. How do the three compare?
  2. Which one should you start on?
  3. A worked example
  4. How to compare them for your own product, step by step
  5. The mistake people usually make

How do the three compare?

We print a marketplace fee only when we read it on that marketplace's own page today. On 12 Nov 2026 we could read Amazon's fee page. Flipkart's page did not load its content and Meesho's site refused our request, so for those two we describe the charges without rates.

PointAmazonFlipkartMeesho
Main chargesReferral fee by category, closing fee by price band, weight handling feeCommission by category, fixed fee, collection fee, shipping feeAdvertises zero commission; shipping and return charges apply
Rates as on 12 Nov 20260% referral up to Rs 1,000 in most categories; 18% GST added on all feesNot read today; check the rate card in your accountNot read today; check your supplier panel
Payment timingEligible 7 days after delivery, per Amazon's pageCheck your accountCheck your panel
GST TCS0.5% of net taxable sales0.5%0.5%, nil for enrolment number sellers
Income tax TDS0.1% under section 194-O0.1%0.1%
Sales report for GSTR-1Amazon GST reportFlipkart GST reportMeesho GST report

Which one should you start on?

Ask yourself three questions before you register anywhere.

What price is your product? On Amazon, the Rs 1,000 line matters. Most categories pay no referral fee at or below it and a category rate above it, as on 12 Nov 2026. A Rs 900 product and a Rs 1,100 product can face very different fees. On any marketplace, flat per-order charges hurt cheap products most, because Rs 60 of shipping is a quarter of a Rs 240 item.

How often will buyers return it? Clothes and footwear come back far more than, say, kitchen tools. Each return costs you shipping and the sale. A zero commission offer does not help much if returns eat the margin.

Do you have a GSTIN? Notification 37/2023-Central Tax lets a marketplace accept a seller with only an enrolment number, for sales within that seller's state, without collecting TCS. Whether a given marketplace accepts such sellers is its own choice, so check its registration page. If you plan to sell across India, you need a regular GSTIN. Our guide on selling on Meesho without GST explains the limits.

Then pick one and learn it well. Our step-by-step guides cover Amazon, Flipkart and Meesho.

File your GSTR-1 freeAprilTax turns your Amazon, Flipkart and Meesho reports into a GSTR-1 file ready for the GST portal, with the checks done for you.
Open the free tool

A worked example

Arjun sells cotton bedsheets from Jaipur on all three marketplaces. We take the GST on his bedsheets as 5% for this example. His taxable sales less returns for one month:

MarketplaceNet taxable salesGST TCS at 0.5%TDS at 0.1%, on the same base for illustration
AmazonRs 1,20,000Rs 600Rs 120
FlipkartRs 80,000Rs 400Rs 80
MeeshoRs 50,000Rs 250Rs 50
TotalRs 2,50,000Rs 1,250Rs 250

The tax treatment is the same everywhere. What grows is the work. Arjun now has three sales reports in three formats, three sets of fee invoices to match against GSTR-2B, and three TCS entries to accept on the GST portal before Rs 1,250 reaches his cash ledger. His GSTR-1 must report the sales made through each marketplace against that marketplace's GSTIN. Our guide to GSTR-1 for multiple marketplaces walks through it.

Is it worth it? If the second marketplace adds real sales, yes. If it adds a few orders a month, the extra reconciliation may cost you more time than it earns.

How to compare them for your own product, step by step

  1. Pick one real product and its selling price.
  2. For each marketplace, write down every charge on one order: commission or referral fee, fixed or closing fee, shipping, collection fee.
  3. Add GST on those charges at the rate on the fee invoice. If you have a GSTIN, mark it as credit you get back.
  4. Add an allowance for returns: your expected return rate times the cost of one return.
  5. Divide by the orders you expect to keep. That is your true cost per sale.
  6. Choose the marketplace with the best margin after that cost, not the one with the lowest headline commission.

The mistake people usually make

New sellers often register on all three in the first week. Listings go stale, ratings suffer from late dispatches, and at month end there are three reports nobody has reconciled. The GST return then gets filed on bank credits instead of sales, which will not match what the marketplaces report in their GSTR-8.

The other mistake is choosing on commission alone. Read Amazon seller fees, Flipkart seller fees and Meesho charges to see why the shipping and return lines often matter more.

How AprilTax can help

Selling on more than one marketplace is where GSTR-1 gets fiddly. AprilTax has a free GSTR-1 tool for online sellers: upload the sales reports from Amazon, Flipkart and Meesho, and it prepares one GSTR-1 with the e-commerce tables, runs about 30 checks and matches the TCS each marketplace reported. You upload the JSON file on the GST portal yourself.

Frequently asked questions

Which is better for a new seller: Amazon, Flipkart or Meesho?
There is no single answer. Compare the full cost per kept order for your own product, including shipping and returns, check whether you need a regular GSTIN, and start on the marketplace where your price and category fit best.
Is Meesho cheaper because it has zero commission?
Not always. Meesho promotes zero commission, but shipping, return costs and penalties still apply. For a low-priced product with many returns, the total can match or exceed a commission elsewhere. Work it out per kept order.
What is the referral fee on Amazon for cheap products?
As on 12 Nov 2026, Amazon's fee page shows a 0% referral fee for items priced up to Rs 1,000 in most categories. Closing and shipping fees still apply, and some categories have different bands.
Is TCS different on Amazon, Flipkart and Meesho?
No. Every marketplace collects GST TCS at 0.5% of your net taxable sales and reports it in GSTR-8. You accept it on the GST portal and it reaches your electronic cash ledger. Sellers on an enrolment number have no TCS collected.
Can I sell on these marketplaces without a GSTIN?
The law lets a marketplace accept a seller with only an enrolment number for sales within that seller's own state, under Notification 37/2023-Central Tax. Whether a marketplace accepts it is its own decision, so check its registration page.
Should I sell on all three marketplaces at once?
Usually not at the start. Each marketplace adds a sales report, fee invoices and a TCS entry to reconcile every month. Learn one well, then add the next when it brings real sales.
Do I file a separate GSTR-1 for each marketplace?
No. You file one GSTR-1 for your GSTIN. Sales made through each marketplace are reported against that marketplace's GSTIN in the e-commerce part of the return, alongside your other sales.

File your GSTR-1 free

AprilTax turns your Amazon, Flipkart and Meesho reports into a GSTR-1 file ready for the GST portal, with the checks done for you.

Open the free tool
AK
Avaneesh Kumar

Founder of AprilTax, building simple tax tools for online sellers.

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