Do i have to pay service Tax on ad income on website? - Professionals - Taxation - TIK Share
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Do i have to pay service Tax on ad income on website?


SEO Guru

2013-08-12

I run a website and earn by giving the places to advertisers to advertise on my site.

I receive income from advertisers, i want to know do i have to register for service tax and pay service tax?

CA Pulkit Sharma

2013-08-14

Your doubt can be devided in 2 parts

1. Service Tax on Advertsing income

2. Service Tax on Affiliate income

As per the changes made in service tax laws a negative list of service was released and services covered in these list were only exempted.

Advertising was not exempted, however the notification issued by goverment sepecificaly excluded the income by advertising on internet.

So you dont have to pay tax on advertising income on your site.

However if you are earning by affiliate marketing than you have to oay service tax once your sales cross 10 lakhs in a year.

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