Is service tax applicable to google adsense income in india?
Kumar (student) (7 Points)
18 January 2016Kumar (student) (7 Points)
18 January 2016
Madhukar N Hiregange
(Chartered Accountant)
(39034 Points)
Replied 19 January 2016
Please give details of what exactly is adsense for an answer.
Kumar
(student)
(7 Points)
Replied 19 January 2016
AdSense (Google AdSense) is an advertising placement service byGoogle. The program is designed for website publishers who want to display targeted text, video or image advertisements on website pages and earn money when site visitors view or click the ads.
Kumar
(student)
(7 Points)
Replied 19 January 2016
AdSense (Google AdSense) is an advertising placement service byGoogle. The program is designed for website publishers who want to display targeted text, video or image advertisements on website pages and earn money when site visitors view or click the ads.
Jayasrinivas.Patri
(Own Practice)
(38 Points)
Replied 19 January 2016
Since Google AdSense generates income to you income excess over elegible income is taxable. Pls note following
However, Budget 2014 brought in an amendment and now sale of Ad Unit on a Website/ Mobile would attract Service Tax @ 12.36% wef 1st Oct 2014. This Service Tax @ 12.36% would be applicable on all kind of digital ads i.e. Direct Ad Sales, Google Adsense Ads, Ad Sales through Agents etc.
TDS is applicable and you need to adjust the TDS recovered by Google from your final payment of Income Tax.
Ashish Chaudhary
(CA Practice )
(2209 Points)
Replied 20 January 2016
Yes, it is liable to service tax @ 14.5%.
However, if invoice is raised to Google outside India and conditions of Rule 6A of Service Tax Rules are satisfied, it could be considered as export of service not liable to service tax.
Designer Reference
(2 Points)
Replied 04 March 2021
If adsense income comes from Google asia Pacific Singapore and you are a publisher, your adsense income comes under export of service and you are exempted from service tax but you are liable to pay income tax.
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