The licences required to sell online in India depend far more on what you sell than on the fact that you sell online. Almost every seller needs GST registration, because the law makes it compulsory for most people supplying goods through an e-commerce operator. Food sellers add FSSAI, packaged goods add legal metrology, electronics may need BIS registration, a brand needs a trademark and cross-border sellers need an Import Export Code. This roadmap sorts those approvals by product type and gives the order a practical seller would file them in.
Licences and registrations to plan for
- Planning stageUdyam registration
Free registration that formalises you as a micro or small enterprise. Marketplaces, lenders and some seller programmes ask for it, and it supports benefits and timely-payment protection.
- Before listingGST registration
Under section 24(ix) of the CGST Act, per the GST Council's TCS FAQs, a person supplying goods through an e-commerce operator must register regardless of turnover. Marketplaces will not onboard most sellers without a GSTIN.
- Before hiringShop and establishment registration
A State labour registration for your office, warehouse or workspace once you operate commercially, and often asked for with a current account or lease. Rules differ by State and by employee count.
- Before brand launchTrademark registration
A registered mark helps you enrol in marketplace brand-protection programmes and take action against copycats. The IP India fee is ₹4,500 per class for startups, individuals and small enterprises, and ₹9,000 per class for others.
- Before listing foodFSSAI registration or licence (food products)
Any seller of food, supplements or beverages needs FSSAI approval for its own business. Marketplace operators of food have their own licence conditions, so check them separately. The tier depends on turnover and Kind of Business.
- Before listing packaged goodsLegal metrology packer / importer registration
Packaged goods must carry the declarations under the Legal Metrology (Packaged Commodities) Rules, 2011, and manufacturers, packers and importers may need registration. Marketplaces check these on the product listing.
- If selling instrumentsLegal metrology licence (weights and measures)
Applies to those who manufacture, repair or deal in weighing and measuring instruments, such as scales sold online, under the Legal Metrology Act, 2009.
- Before sourcing or importingBIS CRS registration (notified electronics)
Electronics and IT goods covered by a Compulsory Registration Order cannot be sold without BIS registration and the Standard Mark. The covered list changes, so check your product code before sourcing.
- Before cross-border saleImport Export Code (IEC)
Needed for cross-border e-commerce such as exporting through courier or marketplace programmes, and for importing stock. Issued by DGFT and updated annually between April and June.
- Before branded listingGS1 barcode registration
Marketplaces and retailers often expect GS1-issued barcodes on branded listings. It is a commercial requirement, not a statutory licence.
- After registration, every periodGST return filing
Monthly or quarterly returns reconcile your sales with the TCS the marketplace collects. Missed returns can block marketplace payouts and input credit.
Start with GST: why online sellers are treated differently
Offline traders can stay unregistered below the turnover threshold. Most online sellers of goods cannot. The GST Council's TCS FAQs state that every person supplying goods through an e-commerce operator must register irrespective of the value of supply. Service providers on a platform are exempt if their turnover does not exceed ₹20 lakh, or ₹10 lakh in specified special-category States.
The e-commerce operator collects tax at source (TCS) on your net sales under section 52 and deposits it, and you then claim that credit when you file returns. Our GST page records the GST registration form (REG-01) and the portal; confirm any recent relaxation for small goods sellers on the GST portal before assuming a threshold applies. Selling from several States needs a registration in each State where you hold stock, such as marketplace fulfilment centres, so plan registrations around where inventory sits.
The roadmap: what to apply for and in what order
Marketplaces onboard sellers in a fixed order: PAN, GSTIN, bank account and then category approvals. Doing the category approvals last is what delays most launches, because a product can be blocked even after the seller account is live.
A workable sequence is below.
- Choose the entity (proprietorship, partnership, LLP or company), open a current account and obtain PAN.
- Apply for GST registration for the State of your principal place of business, and add additional places for each State where you will store stock.
- File Udyam registration, which is free and useful for lenders and seller programmes.
- Register shop and establishment where your State requires it for your workplace.
- Identify category approvals from your product list before sourcing stock: FSSAI for food, BIS CRS for notified electronics, legal metrology for packaged and measured goods.
- File the trademark application before the brand gets popular, so that brand registry and takedown tools become available sooner.
- Add IEC and, for food, APEDA or other export registrations only when you are ready to ship abroad.
- Set up monthly GST filing and bookkeeping before the first order, not after.
Approvals by product type
The only reliable way to know what you need is to list your SKUs and match each to a regime. The list below is a starting map and not a substitute for checking the notified rules for your exact product.
- Food, supplements, packaged beverages: FSSAI registration or licence for your business, correct label declarations and the FSSAI number on listings and packaging as per the labelling rules.
- Electronics and IT goods under a Compulsory Registration Order: BIS registration with testing at a BIS-recognised laboratory, the Standard Mark and an R-number. Our BIS CRS page notes the validity period was reported to be extended in 2026, so confirm on your grant.
- Packaged consumer goods of any kind: Legal Metrology declarations such as net quantity and consumer care details, with registration for packers and importers where required.
- Medicines, cosmetics and medical devices: separate drug, cosmetic and device regimes apply, covered on their own pages, and marketplaces restrict them sharply.
- Imported products: IEC, customs compliance and the product's own approvals, since importers carry the legal metrology and BIS responsibilities.
Brand protection and cross-border selling
A trademark covers the brand name and logo by class and is valid for ten years from the date of application, renewable. Applications are filed on the IP India portal in Form TM-A. Marketplaces typically need a pending or granted mark for brand programmes, though their terms change, so check the platform's current policy.
For exports, the Import Export Code from DGFT has no expiry but must be updated each year between April and June or it can be deactivated. Cross-border sellers also need to decide how GST on exports (zero-rated supply) will be handled, and food exporters may need APEDA registration. We have not covered customs and courier export rules in detail here.
State differences: Delhi, Uttar Pradesh and Haryana
Most online-seller approvals are central: GST, FSSAI, BIS, IEC and trademark. The State layer is mainly shop and establishment registration, which is with the Delhi Labour Department, the UP Labour Department and the Haryana Labour Department, each under its own Act, and legal metrology, which is administered by the State Controller of Legal Metrology.
If you run a warehouse, State rules on fire clearance, building use and, for larger operations, factory or labour registrations apply as well. Warehouses in Noida, Greater Noida, Gurugram and Faridabad are often subject to the development authority's use conditions, so check the lease against them.
Recurring compliance calendar
Online sellers get compliance notices mainly from tax mismatches. Reconcile your marketplace reports against your returns every month.
- Monthly or quarterly: GST returns reconciled with marketplace sales and TCS credit, PF and ESIC if you employ staff.
- Annually: GST annual return where applicable, income tax filing, IEC update between April and June if you export, FSSAI annual fee for food sellers, State shop registration renewal where applicable.
- On change: update GST for new warehouses or States, update Udyam on turnover changes, and refresh legal metrology declarations whenever pack or label content changes.
- At renewal points: trademark renewal after ten years, BIS registration renewal as stated on the grant.
Common pitfalls we see
- Listing products first and finding the category approval gate later. Check FSSAI, BIS and legal metrology before you buy stock.
- Selling from a State without a GST registration for the warehouse where stock is held.
- Using the marketplace's own certificates as your own. The licence has to be in your business name for your premises.
- Skipping the trademark and discovering that someone has filed for your brand name.
- Ignoring TCS reconciliation, which leads to unclaimed credit and mismatch notices.
- Assuming an old BIS or product list is still current. Covered products and deadlines change often.
Frequently asked questions
Is GST registration compulsory to sell on Amazon or Flipkart?
For goods, generally yes. The GST Council's TCS FAQs say a person supplying goods through an e-commerce operator must register regardless of turnover under section 24(ix) of the CGST Act. Service providers on a platform are exempt up to ₹20 lakh, or ₹10 lakh in special-category States. Verify any recent notified relaxation.
Do I need a licence to sell on my own website?
Your own store avoids marketplace onboarding, but the same legal rules apply to what you sell. You need GST registration once required, plus FSSAI, BIS or legal metrology approvals for your product type. Check whether your turnover or inter-state sales trigger GST for goods.
Do I need FSSAI to sell food online?
Yes, a food seller needs its own FSSAI registration or licence, whichever tier matches its turnover and Kind of Business. From 1 April 2026 the tiers are registration up to ₹1.5 crore, State licence up to ₹50 crore and Central licence above that. Marketplace operators have separate conditions.
Is BIS registration needed for electronics sold online?
Only for products covered by a Compulsory Registration Order, which is a limited and changing list. Covered products need BIS registration and the Standard Mark before sale or import. Check the current list on the BIS website for your product before sourcing.
What is legal metrology for online sellers?
It is the set of label and declaration rules for packaged goods under the Legal Metrology (Packaged Commodities) Rules, 2011, such as net quantity and consumer care details, with registration for packers and importers where the Rules require it. The declarations must also match what appears on your product listing.
Do I need a trademark to sell online?
Not to start, but it is strongly useful. A trademark helps with marketplace brand programmes and with stopping copycats. IP India charges ₹4,500 per class for startups, individuals and small enterprises and ₹9,000 per class for others, and the mark is valid for ten years from the application date.
Do I need an IEC for cross-border e-commerce?
Yes, to export or import commercially, you need an Import Export Code from DGFT. It does not expire but must be updated each year between April and June or it can be deactivated. Fee and procedure details should be confirmed on the DGFT portal.
Do small home-based online sellers need Udyam or shop registration?
Udyam is free and not mandatory, but many lenders and platforms prefer it. Shop and establishment registration depends on your State and on whether you operate a commercial workplace or employ staff. Confirm the rule with your State Labour Department.
Can I sell from several States with one GST number?
A GST registration is State-specific. If you store stock in warehouses in other States, including marketplace fulfilment centres, you generally need an additional place of business or a separate registration there. Confirm the treatment with your tax advisor before you enable multi-State inventory.
Official sources
Reviewed by Satyam Gupta, Company Secretary (CS) & Advocate
8+ years of industry experience. Last reviewed 16 October 2026. Always confirm current rules and fees on the official portal before acting.

