A private limited company is registered in India. It will soon launch an ONLINE only advertisements website which will serve USA customers, and will charge them $2 to $10 for placing the ads. This website and any associated work will NOT have any offices/employees or any other physical setup in the US. Everything will be worked, operated and offered from India.
However, the customers will be US residents in the USA, and they will pay the charges in USD currency to use the website. There will be NO goods sold. USA Users will pay only for getting or posting information in the ads. Transactions will be through a payment gateway like PayPal or Stripe, and the USD money will get accumulated and be remitted in USD to our company's bank account in HDFC Bank, say once in a month.
Questions
1) Does the India registered pvt ltd company needs to pay any federal, state or local taxes in the USA? If yes, then what all registrations, declarations and filings are needed?
2) Do they need to pay GST in India or this international content selling is exempted?
CAclubindia
