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OIDAR Penalty & Exposure Calculator

If you've been operating in India without OIDAR registration, get an instant, indicative estimate of your back-tax, interest, and penalty exposure — free, no sign-up.

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This is an indicative estimate only, based on simplified assumptions about the 18% IGST rate, 18% annual interest, and typical penalty ranges under Sections 122 and 74A. Your actual exposure depends on facts this calculator cannot capture — voluntary disclosure timing, evidence, and specific circumstances all materially change the outcome. Use this to understand the scale of the issue, then get a definitive assessment.

Your situation

B2C (unregistered)B2C = Business-to-Consumer. Your customer is an individual or business without a GST registration (an "NTOR" — non-taxable online recipient). You are liable for 18% IGST on these supplies.
B2B (GST-registered)B2B = Business-to-Business. Your customer is an Indian business holding a valid GSTIN. Under the Reverse Charge Mechanism (RCM), they — not you — account for the GST.
Hover the options above for what these terms mean
Revenue from unregistered Indian consumers (NTORs) only — not B2B/reverse-charge revenue
Selected: 2 years
No — assessing proactively
Yes — received a notice
Voluntary disclosure before contact typically results in materially lower penalty exposure
No — genuine error
Yes — alleged

Estimated exposure

⚠ Assumed figures
Back tax (18% IGST)$0
Estimated interest (18% p.a.)$0
Estimated penalty range$0
Total estimated exposure
$0
Range: $0 – $0

This is only a rough, assumed estimate — not your actual liability. The real number depends heavily on strategy: how you disclose, what you document, and how you respond. We help clients fight these cases and bring this number down — often substantially.

Talk to us about reducing this →
How this is calculated
Back tax = 18% of estimated annual B2C revenue × years unregistered. Interest = 18% per annum, shown as a range because we don't know exactly when within each year your revenue was received — the low end assumes it arrived gradually, month by month (typical for a recurring-revenue business); the high end assumes each year's full revenue was due on day one of that year. Penalty range reflects Section 122 (₹10,000 or tax due, whichever higher) at the low end, scaling toward higher percentages under Section 74A where fraud/suppression is alleged and no voluntary disclosure has occurred. B2B revenue to GST-registered customers carries no liability for you at all — see the toggle above. Full framework in our Complete Guide.
Why voluntary disclosure changes this number so much
Paying voluntarily before a notice arrives (Form DRC-03) can reduce penalty exposure to near zero in genuine-error cases. Waiting for a notice, or having fraud alleged, moves the penalty toward the higher end of the range. See our GST Notice Response Guide for the full framework.
Common questions

Questions we are asked most

How is OIDAR exposure actually calculated?

Three separate charges run together rather than as alternatives, which is why totals surprise people. The tax itself is 18% of the India-attributable supplies you should have taxed. Interest accrues on that unpaid tax, generally around 18% a year calculated daily, and is driven purely by elapsed time rather than by intent. A late fee applies per return not filed. A penalty then sits on top, with the tier depending on whether the conduct was genuine error or involved suppression. Because interest compounds with time and the tax base is historical, exposure grows every month the position stays unresolved even if no new sales are made.

Does the calculator tell us what we will actually have to pay?

No, and it is important to treat it as an indication rather than an assessment. It models the mechanical components — tax, interest and a penalty range — on the figures you enter, which is enough to understand the order of magnitude and to decide whether to act. What it cannot do is account for the facts that move an outcome: the quality of your records, how the department characterises your conduct, whether disclosure was voluntary, and what is actually agreed during an enquiry. Use it to size the problem and inform the decision, then take the specific position on your own facts.