# Ecommerce Profit Calculator: Fees, GST, Returns, Ads

> Ecommerce profit calculator for marketplace sellers: commission, fees, shipping, GST on fees, returns and ads, plus the 0.5% TCS and 0.1% TDS held back.

Source: https://trykosh.com/tools/ecommerce-profit-calculator

Free tool - Business and GST

# E-commerce profit calculator for marketplace sellers

Find what you really make on each order sold through an online marketplace, after commission, shipping, returns, ads and taxes. Every fee is an input, because each platform and category sets its own.

Rules checked 25 October 2026Free - no sign-upRuns in your browser

Profit per order shipped

INR 136.58

INR 40,973 a month on 300 orders - margin 17.9%

Profit on a delivered order**INR 171.75**

Marketplace fees**INR 224.86 (22.5%)**

TCS + TDS held back**INR 5.23**

Product + packing **INR 400**Fees **INR 225**GST to government **INR 152**Ads + returns **INR 61**Profit **INR 137**

Customer pays

INR 999.00

− GST in the price (18%)

INR 152.39

Net sale value

INR 846.61

− Product cost

INR 380.00

− Packaging

INR 20.00

− Commission (12%)

INR 119.88

− Fixed fee + shipping

INR 85.00

− Payment fee (2%)

INR 19.98

GST on fees (claimed back as ITC)

INR 40.47

Profit on a delivered order, before ads

INR 221.75

Across 10% returns and INR 50 ads per order

INR 136.58

TCS 0.5% (credited to your GST cash ledger)

INR 4.23

TDS 0.1% u/s 194-O (claim in your ITR)

INR 1.00

TCS and TDS reduce your payout but aren't costs: you get both back as credits. The GST in the price isn't your money; you pay it after setting off the GST on purchases and fees.

## Upload your statement and Kosh does this for you.

Upload your bank statements and Kosh separates business from personal spending and keeps your tax and GST dates in view.

[Start free](/signup?via=tool-ecommerce-profit-calculator)

## How the E-commerce profit calculator works

Start from the price the customer pays, which includes GST. The calculator takes out the GST on your product to get the net sale value, then subtracts your product cost (before GST you can claim back) and packaging.

Next come the marketplace's charges: commission as a percentage of the selling price, a fixed or closing fee, shipping and a payment collection fee. Marketplaces charge 18% GST on these fees. If you're registered, as most marketplace sellers must be, that GST comes back as input tax credit; if not, it's a cost.

Returns and ads are where many sellers lose money. A share of orders comes back, and each one costs reverse shipping and fees that aren't refunded. Ad spend is spread across every order shipped. The headline result is profit per order shipped after all of it, with the monthly total at your volume.

Two deductions reduce your payout without being costs. Under GST, the marketplace collects TCS of 0.5% of net taxable value (from 10 July 2024) and credits it to your electronic cash ledger. Under income tax, it deducts TDS of 0.1% under section 194-O (from 1 October 2024), which you claim when you file.

Profit per order = (1 − return rate) x delivered profit − return rate x return loss − ad spend

Delivered profit

net sale value − product cost − packaging − marketplace fees

## Worked example: Shalini, cotton kurtas from Jaipur

Shalini sells a kurta at INR 1,299, which carries 5% GST, so her net sale value is INR 1,237.14. It costs her INR 520 plus INR 25 to pack. The marketplace takes 18% commission (INR 233.82), INR 30 fixed fee, INR 70 shipping and 2% for payment, INR 359.80 in all. A delivered order leaves INR 332.34 before ads. But 22% of orders come back at a INR 140 loss each, and she spends INR 80 on ads per order, so she clears INR 142.93 per order shipped, INR 85,756 a month on 600 orders.

Profit per order shipped

INR 142.93

INR 85,756 a month on 600 orders - margin 14.8%

Profit on a delivered order**INR 252.34**

Marketplace fees**INR 359.80 (27.7%)**

TCS + TDS held back**INR 7.48**

Product + packing **INR 545**Fees **INR 360**GST to government **INR 62**Ads + returns **INR 111**Profit **INR 143**

Customer pays

INR 1,299.00

− GST in the price (5%)

INR 61.86

Net sale value

INR 1,237.14

− Product cost

INR 520.00

− Packaging

INR 25.00

− Commission (18%)

INR 233.82

− Fixed fee + shipping

INR 100.00

− Payment fee (2%)

INR 25.98

GST on fees (claimed back as ITC)

INR 64.76

Profit on a delivered order, before ads

INR 332.34

Across 22% returns and INR 80 ads per order

INR 142.93

TCS 0.5% (credited to your GST cash ledger)

INR 6.19

TDS 0.1% u/s 194-O (claim in your ITR)

INR 1.30

TCS and TDS reduce your payout but aren't costs: you get both back as credits. The GST in the price isn't your money; you pay it after setting off the GST on purchases and fees.

[Load this example into the calculator ->](?price=1299&gstRate=5&cost=520&pack=25&commission=18&fixedFee=30&shipping=70&returns=22&returnCost=140&ads=80&orders=600#calculator)

## Good to know

-   Apparel and footwear priced up to INR 2,500 per piece attract 5% GST; above that, 18%. Check your product's HSN rate before you price.
-   Sellers supplying goods through a marketplace generally need GST registration from the first rupee. Since October 2023 small sellers supplying only within their own state can sell below the threshold, subject to conditions.
-   Return rates in fashion often run at 20% to 30%. A 5-point cut in returns can do more for profit than a 5-point cut in commission.
-   Reconcile TCS in your GSTR-2B and TDS in Form 26AS every month: missing credits are cash you'll never see if you don't chase them.

## Frequently asked questions

How do I calculate profit on an online marketplace order?

Take the selling price, remove the GST in it, then subtract product cost, packaging, commission, fixed fee, shipping, payment fee and any GST on fees you can't claim. Then allow for returns and ad spend across all orders. What's left is your profit per order.

What is TCS for e-commerce sellers?

Under section 52 of the CGST Act, the marketplace collects tax at source of 0.5% (0.25% CGST + 0.25% SGST, or 0.5% IGST) on your net taxable supplies, from 10 July 2024. You accept it on the GST portal and it is credited to your electronic cash ledger, where you can use it to pay GST.

Is GST charged on marketplace commission?

Yes, marketplaces charge 18% GST on commission, fixed fees, shipping and other service fees. Registered sellers claim it as input tax credit against their output GST.

What is TDS under section 194-O?

Marketplace operators deduct income-tax TDS of 0.1% of the gross amount of sales from 1 October 2024 (it was 1% before). It appears in your Form 26AS and you claim it against your income tax.

## Sources and assumptions

-   [CBIC GST portal](https://cbic-gst.gov.in/)
-   [Income Tax Department](https://www.incometax.gov.in/)

Rules and rates last checked on 25 October 2026. Results are estimates for planning and education, not tax, legal or investment advice. Kosh is an educational financial planning tool by Primedepth Labs. It is not a SEBI-registered investment adviser and does not offer personalised investment advice, hold your money or execute trades. Markets carry risk; read scheme documents carefully and consult a registered adviser before acting.
