Similar to income tax, there is a TDS provision even under GST law. Under that provision, every Electronic Commerce Operator is required to deduct a portion of tax which is payable by the supplier. 

Let me give you an illustration. If I am a technological platform and I am connecting suppliers and receivers, in this case I will collect the money from the receiver and I am obliged to pay the money to the supplier, under contractual commitments. 

However, TDS obligation will require me to deduct a portion of the tax which is payable by the supplier and pay to the government. This TDS obligation is starting from 1st October, 2018 and will affect all ECOs who are not acting as agents. 

So when we say there are ECOs who are not acting as agent, we are referring to pure technology platform providers and not intermediaries, which means that the platform is the sole obligation of the Electronic Commerce Operator and that ECO is not engaged in influencing the supply made by the supplier to the buyer and is not acting as an agent of the supplier.