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Petra Diamonds Adds 2% Levy for Indian Clients

Amount covers new e-commerce tax that might apply to miner’s rough sales.
Aug 26, 2020 10:26 AM   By Joshua Freedman
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RAPAPORT... 
Petra Diamonds will charge Indian customers an additional 2% to cover a new e-commerce tax that might apply to the miner’s rough sales.

India introduced the equalization levy on April 1, taxing all overseas e-commerce operators’ sales of goods and services in the country. Petra is still trying to establish whether the tax affects its sales to Indian clients through its online bidding platform, chief financial officer Jacques Breytenbach said Monday in a note to clients.

As a result, the company will demand an extra 2.041% from Indian buyers for all online transactions, with immediate effect. It will keep those amounts in escrow until it clarifies whether it has to pay them to the government, and will refund customers if it transpires that the levy does not apply, the company added.

Image: Rough diamonds weighing 424.89 carats and 209.9 carats that Petra Diamonds recovered in 2019. (Petra Diamonds)
タグ: e-commerce, equalization levy, India, Joshua Freedman, petra, Petra Diamonds
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