Rule 14B: How Online Sellers Can Get GST Registration in Another State Using a Marketplace Warehouse

Rule 14B of the CGST Rules, 2017 came into force on 1 November 2026. It lets a person who sells goods through a marketplace that collects tax at source get GST registration in another state where they have no physical presence, by declaring the marketplace's warehouse there as their place of business. It was inserted by Notification No. 05/2026-Central Tax, G.S.R. 919(E), dated 26 October 2026. It is optional, and it is not general multi-state registration. This is general information, not tax or legal advice; confirm with a chartered accountant or GST practitioner.

What is Rule 14B in one minute?

The rule is titled "Option for suppliers supplying goods through electronic commerce operator who are required to collect tax at source under section 52". A person registered in one state or union territory may obtain registration against the same PAN in any other state where they have no physical presence, by declaring a warehouse of a section 52 e-commerce operator in that state as their principal place of business. Section 52 is the tax collected at source rule; see the GST TCS calculator for how that works on a payout.

The notification's own commencement clause says the rules come into force on 1 November 2026 unless otherwise provided. The text we read is a reproduction of the Gazette of India notification; the Gazette itself is the authority.

Who can use Rule 14B?

The rule's text sets three conditions. You intend to supply goods through an e-commerce operator that must collect tax at source under section 52. Your total output tax liability on those supplies to registered persons, other than a person registered on the same PAN, does not exceed ₹2,50,000 per month. And the operator consents to you declaring the warehouse as your place of business.

Other conditions come from the rule's sub-rules:

• You are registered in a home state where you have a physical presence, and you give that GSTIN in the application.
• You have no physical presence in the state where you want the new registration.
• You have not opted out of Aadhaar authentication, unless you are a person notified under section 25(6D).
• You can hold only one Rule 14B registration per PAN in a state or union territory.

All four are from the same notification. Secondary summaries of GSTN's advisory add that composition taxpayers, input service distributors, SEZ units and casual taxpayers are excluded, and that the registration can be used only for e-commerce supplies. We did not find that wording in the sub-rules we read, so check it with the advisory.

Composition taxpayers are in any case barred from selling through e-commerce operators, as the GST Council's FAQ says.

How do I apply for Rule 14B registration?

The steps below combine the rule text with a summary of GSTN's advisory dated 1 November 2026. Use the GST portal's current screens as the final word.

1. Keep your home-state GSTIN active. If you are on Rule 14A in the home state, first file FORM GST REG-32 to withdraw from that option.
2. Fill Part B of FORM GST REG-01 on the GST portal, select the Rule 14B option, and enter the operator's GSTIN.
3. Give the address of the operator's warehouse in that state as the principal place of business, and any other warehouse there as an additional place.
4. The operator has seven working days to consent. If it does not, the application is not processed further.
5. Complete biometric Aadhaar authentication and document verification, if not already done. The advisory summary says this must happen within 15 days of submitting Part B or no ARN is generated.
6. The home-state officer then verifies your home-state premises. If physical verification is not done within 30 days of the ARN, the application is deemed approved.

If the officer finds you conduct no business in the home state, the application is deemed rejected, intimated in FORM GST REG-05A.

What does the ₹2.5 lakh limit mean?

The limit is on output tax liability, not on turnover. It covers supplies to registered persons (B2B), excluding buyers registered on your own PAN, and it counts central, state or union territory and integrated tax together, per month. For example, at 18% GST, ₹2,50,000 of tax corresponds to about ₹13.9 lakh of B2B taxable value in a month (₹2,50,000 ÷ 0.18). At 5%, it is ₹50 lakh. Use the GST calculator for your own figures. The rule text we read does not say what happens if a month crosses the limit; ask your adviser.

What must I do after I get the registration?

• Keep the books of account and records at your principal place of business in the home state, and produce them on demand.
• You do not need to display the registration certificate and GSTIN on a name board at the operator's warehouse.
• If the operator changes a warehouse address, file FORM GST REG-14 for amendment; the operator's consent applies to the new address too.
• If the operator withdraws permission for your principal-place warehouse and you do not apply for amendment within 30 days, the registration is deemed cancelled and intimated in FORM GST REG-38.
• To leave the option, file FORM GST REG-32 with proof of physical presence in the home state.

Every person supplying goods through an operator must be registered, irrespective of turnover. Rule 14B changes where you may register, not that duty.

Does Rule 14B change my TCS or invoices?

The text we read does not change the section 52 mechanism. The operator still collects tax at source on your net taxable sales and files GSTR-8. How the new registration appears in your GSTR-1, GSTR-3B and cash ledger is not covered here; ask your adviser to test it on a small first month.

What is not confirmed yet?

• Which operators will give consent and how long it takes in practice.
• Whether your product mix and warehouse states make it worth using. That is a tax-advice question, not a marketplace one.
• Treatment of a month in which B2B output tax crosses ₹2.5 lakh.

For the FBA and FBF angle, read Rule 14B for FBA and FBF sellers. The glossary entry on Rule 14B gives a short definition.

FAQ

What is Rule 14B under GST? It is a rule inserted into the CGST Rules, 2017 from 1 November 2026 that lets a goods seller register in another state by declaring an e-commerce operator's warehouse there as its principal place of business. It is optional.

Is Rule 14B compulsory for FBA or FBF sellers? The rule says a person "may" obtain registration under it, so it is an option. Whether you need any registration in a state where stock sits is a separate question for your adviser; this page does not decide that.

How much can I sell under Rule 14B? The rule caps output tax on supplies to registered persons at ₹2,50,000 a month, excluding persons registered on your own PAN. It is a tax limit, not a turnover limit.

How long does the operator have to consent? Seven working days. If it does not consent in that period, the application is not processed further. There is no deemed consent in the text we read.

Do I need Aadhaar authentication? Yes, unless you are a person notified under section 25(6D). A person who has not opted for Aadhaar authentication is not eligible for registration under this rule.

Can I hold two Rule 14B registrations in one state? No. A person cannot obtain another registration in the same state against the same PAN under this rule.

Next step

If you sell on Amazon and Flipkart, talk to your GST adviser first, then bring the answer to your marketplace account manager. Blooprint's Amazon account management team can handle the account and catalogue work around it.