GST on Advertisement Services: Digital and Print Media

From billboards to Instagram ads, advertisements are everywhere—and so is GST. Whether you’re an agency, a media company, or a business booking ads, understanding the gst on advertisement services is key to budgeting and billing right.

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    What Are Advertisement Services Under GST?

    Under GST law, advertisement services include:

    • Digital ads on Google, Facebook, Instagram, YouTube, etc.
    • Print ads in newspapers and magazines
    • TV and radio commercials
    • Outdoor hoardings and banners
    • Sponsorships and event branding

    These services fall under SAC Code 998361 and are taxable, except for certain exemptions.

    Advertisement GST Rate

    Ad Type GST Rate
    Digital/online advertisement 18%
    Print ads (own content + space) 18%
    Print ads (space only – newspaper) 5%
    TV and radio ads 18%
    Outdoor ads (hoardings, banners) 18%
    Sponsorships and brand promotion 18%

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    GST on Digital Advertisement Services

    The gst on online advertisement is 18%, and it applies to:

    • Social media ads
    • Google Ads and search engine promotions
    • Influencer marketing billed via agency
    • YouTube or video-based ads

    GST Rate on Newspaper Advertisement

    Nature of Print Ad Service GST Rate
    Ad space only (newspaper) 5%
    Ad space + design/content creation 18%
    Magazine advertisements 18%

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    GST Compliance for Ad Agencies and Clients

    • Use SAC Code 998361 in invoices
    • Charge 18% GST (unless 5% applies for newspaper space)
    • File GSTR-1 and GSTR-3B regularly
    • Clients can claim Input Tax Credit on GST paid

    GST on Foreign Digital Ads

    When billed from outside India (e.g., Facebook Ireland, Google Singapore):

    • GST @ 18% is payable under Reverse Charge Mechanism
    • Applicable only to GST-registered businesses in India
    • Business must self-invoice and pay GST to remain compliant

    Conclusion

    Whether you’re placing a print ad or running a digital campaign, understanding the gst on advertisement ensures your billing is accurate and your tax returns remain compliant.

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