E-Commerce Founder's Checklist: GST, Legal Metrology & Mandatory Disclosures
- GST registration is mandatory if your turnover crosses the threshold; collect GSTIN from suppliers and display it on invoices.
- Legal metrology rules require weight/volume declarations, MRP, and manufacturer details on every product listing and packaging.
- Transparent return, refund, and cancellation policies must be clearly displayed before checkout to comply with Consumer Protection Act.
Why Compliance Matters
Running an e-commerce store in India means following rules that protect customers and keep your business safe. Skipping these steps invites notices from tax authorities, the Weights and Measures Department, and angry customer complaints. Getting it right from day one saves headaches, fines, and lost trust.
GST: Registration and Display
If your annual turnover exceeds the threshold (currently 20 lakhs for most states, 10 lakhs for services), GST registration is mandatory. You must:
- Register with the GST portal and get your GSTIN
- Collect valid GST numbers from your suppliers
- Display your GSTIN and business name on every invoice and receipt
- File returns monthly or quarterly (depending on your category)
- Maintain clear records of stock and sales
If you're dropshipping or reselling, get GST certificates from your vendors before you list their products.
Legal Metrology: What Must Appear on Every Listing
India's Legal Metrology Act requires specific information on every consumer product. Your product page must clearly show:
- Net quantity (weight or volume) in standard units
- Maximum Retail Price (MRP) in Indian rupees
- Manufacturer or packer name and address
- Date of manufacture and expiry date (for food and cosmetics)
- Batch or lot number
- Country of origin
This applies whether the item is food, electronics, cosmetics, or clothing. Put it in the product description, not buried in a PDF. Customers should see it before they click "Buy."
Mandatory Product Declarations
Beyond metrology, show:
- Ingredients or material composition (where applicable)
- Safety warnings and usage instructions
- Statutory warnings (alcohol, tobacco, medicines)
- Return and warranty terms
- Seller name, address, and contact details
For food and FMCG, include allergen information and storage instructions. For medicines and medical devices, always link to registration with the relevant authority (DCGI, AYUSH, etc.).
Returns and Refunds Policy
The Consumer Protection Act requires clear disclosure before purchase. Your policy must specify:
- Return window (how many days)
- Condition of items accepted (unused, sealed, etc.)
- Refund timeline (usually 7 to 14 days)
- Who bears return shipping costs
- Restocking fees, if any
- Non-returnable items (if applicable)
Place this on a dedicated page, link it prominently at checkout, and make it easy to read. Vague policies annoy customers and invite complaints to consumer courts.
A Practical Start
Build compliance into your site from the beginning. A well-structured website with dedicated fields for product details, clear policy pages, and automated invoice generation handles most of this without extra effort. As you grow, audit your listings quarterly to catch gaps.
Disclaimer: This is general information only, not legal advice. Every business situation is unique. Consult a GST chartered accountant and a compliance lawyer to confirm requirements for your specific products and location.
Quick Wins
- Create a single product template with all mandatory fields
- Use supplier data sheets to fill metrology and ingredient info
- Have your lawyer draft a standard returns and refund policy, then use it across your site
- Keep a checklist for each product category
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Get a free quoteThis article is general information, not legal advice. For your specific situation, please consult a qualified professional.
