Flipkart · Glossary

What is Settlement value?

Settlement value is the amount a marketplace pays out to the seller for an order, after its fees and other deductions are taken off the customer price. Flipkart says its 2024 rate card was designed around settlement value.

Settlement value is the amount a marketplace actually pays you for an order, once its fees and other deductions are taken from what the customer paid. Flipkart says its revised rate card was "specifically crafted to prioritize settlement value" so that earnings are transparent and predictable. Flipkart's public FAQ gives no formula or figures, so your own Seller Hub report is the only place to see the number.

What is deducted to reach settlement value?

The usual building blocks are the platform's fee lines (commission, fixed, collection, shipping and similar), GST on those fees, and statutory deductions. Two apply to sellers in India: TCS under GST, explained in TCS under Section 52, and income-tax TDS, explained in TDS 194-O. Which fee lines apply to you depends on your category, and Flipkart says absolute numbers are in its "updated rate card documentation".

Why does Flipkart talk about settlement value?

The same FAQ says the new rate card includes "measures to enhance settlement clarity". Sellers have asked for one number they can predict per order, instead of adding up separate fee lines. We could not find a public Flipkart definition of the term beyond that wording.

A worked example with made-up numbers

Say a customer pays ₹1,000 for your product. Suppose your fee lines and GST on them come to ₹180, and tax collected at source and deducted at source come to ₹3. Your settlement value would be ₹1,000 minus ₹183, which is ₹817. These figures are for illustration only; they are not Flipkart's rates, which sit in your Seller Hub rate card. CBIC's flier confirms the logic of the tax part: the operator pays the supplier the price less the tax collected.

What if the amount looks wrong?

Match the order against your rate card, then raise a support ticket from Seller Hub with the order IDs. Flipkart's public pages do not give a dispute window, so ask your account manager what applies to you.

Settlement value on other marketplaces

Other marketplaces use their own names for the same idea, such as net payout. For fee basics see Flipkart seller fees explained and the referral fee entry. To check a payout order by order, read our guide to reconciling Flipkart settlements.

Blooprint, a Bengaluru e-commerce agency, offers Flipkart account management that includes settlement checks.

Frequently asked questions

Is settlement value the same as the selling price?

No. The selling price is what the customer pays. Settlement value is what reaches you after the platform's fee lines and tax deductions. Flipkart's public FAQ gives no formula, so check the breakdown in your own Seller Hub report.

Where do I see settlement value on Flipkart?

In Seller Hub payment reports. Flipkart's help pages sit behind login, so we could not open them and do not name report columns here.

What gets deducted before settlement?

Fee lines under your rate card, plus tax collected at source and tax deducted at source. Flipkart says absolute numbers vary by fee component and seller category and are in its rate card documentation (source: https://stories.flipkart.com/flipkart-rate-card-policy-faq/).

Related terms

Sources

Questions about Settlement value?

Book a free 30-minute call. We audit your account and tell you exactly what we would fix first.

📞 Call WhatsApp Book Demo