Are Adsense earnings subject to service tax in India?
Not sure whether service tax is imposed on Google AdSense earnings in India? Find out the answer to this query from our experts.
From October 2014, the online advertisements are subject to Service Tax. Accordingly, Adwords has started charging service tax from its clients. In the meantime, Google has started paying for the Adsense earnings only through wire transfer and payments are received in bank in bank account in India in convertible currency which bank converts into INR and credits to the website owners account. Google does not pay any service tax to the Publishers (ie website / blog owners)in the invoice generated. However, these ads are displayed in India and clicked in India.
The question that needs to be answered is whether such Adsense earnings are subject to Service Tax? Is there any clarification from Service Tax authorities?