E-Commerce Compliance Checklist for Indian Founders: GST, Legal Metrology & More

Why E-Commerce Compliance Matters

Running an online store in India means following multiple regulations. Missing even one can lead to penalties, customer disputes, or forced shutdowns. A checklist keeps you aligned.

This guide covers the main legal areas every Indian e-commerce founder should know. This is general information, not legal advice. Consult a compliance professional or lawyer for your specific situation.

GST: Registration and Filing

If your annual turnover crosses the GST threshold (currently 40 lakhs for most goods; 20 lakhs for services), you must register.

• File GSTR-1 (sales) monthly or quarterly, depending on your annual turnover
• File GSTR-3B (summary return) by the 11th of the following month
• Keep invoices and delivery proof for at least 5 years
• If you sell across states, ensure your HSN/SAC codes are correct

Delayed or incorrect filings attract penalties and block your return claims.

Legal Metrology: Packaged Goods

Selling packaged items (food, cosmetics, spices, textiles)? Legal Metrology applies. Products must show:

• Net weight or quantity
• MRP clearly printed
• Manufacturer name and address
• Manufacturing and expiry dates (where applicable)
• ISI or other mandatory certification marks

Non-compliance can result in seizure of stock or fines. Check your supplier labels before listing.

DPDP Act: Customer Data Protection

The Digital Personal Data Protection Act 2023 requires you to:

• Post a clear privacy policy explaining what data you collect and why
• Obtain explicit consent before collecting or processing personal data
• Allow customers to access, correct, or delete their data upon request
• Ensure data is secure and not shared without permission
• Appoint a Data Protection Officer if you process data at scale

Including privacy terms in your website from day one saves costly fixes later.

FSSAI: If You Sell Food or Beverages

Only applies if your product is food or drink: snacks, spices, tea, coffee, supplements, etc.

• Obtain an FSSAI registration or license (based on turnover)
• Display your FSSAI number on your website and product labels
• Maintain hygiene and storage records
• Follow labeling rules for allergens and nutritional information

If you do not sell food, you can skip this.

Refund and Return Policies

Write a clear, customer-facing policy that covers:

• Return window (e.g., 7, 14, or 30 days from delivery)
• What items can and cannot be returned
• Condition of goods (new, unused)
• Refund timeline and method
• Who pays for return shipping

A transparent policy reduces disputes and builds trust. Include this on your website before launch.

Shipping and Delivery

• Partner with licensed couriers only
• Display shipping charges upfront
• Provide tracking numbers
• Set realistic delivery timelines
• Have a grievance redressal process for lost or damaged shipments

Terms of Use and Disclaimers

Every website needs clear terms of use covering:

• Product descriptions and liabilities
• Warranty (or lack thereof)
• Dispute resolution process
• Payment and security

A Quick Note

Building a website with compliance in mind from the start saves stress. Many founders add these policies as afterthoughts, which creates gaps and legal risk. Modern e-commerce platforms built for India automate GST calculations, host privacy policies, and enforce refund workflows, so you stay compliant as you grow.

Final Checklist

• GST registration if applicable
• Correct product labeling (Legal Metrology)
• FSSAI if selling food
• Privacy policy and DPDP compliance
• Clear refund, return, and shipping policies
• Terms of use on your website
• Regular invoice and record-keeping

Start here, and consult professionals for deep dives into your specific product category or region.

This article is general information, not legal advice. For your specific situation, please consult a qualified professional.