---
title: "New GST on Advertisement 2026: 18% Rate on Ads, Digital & Print"
description: "New GST rate on advertisement in 2026 is 18% on digital, print and outdoor advertising. Simplify GST billing with Busy and apply the right rate every time."
canonical: "https://busy.in/gst-rates/advertisement/"
author: "Vineet Goyal"
published: "2025-05-16T12:55:13.000Z"
category: "GST Rates"
---

-   The new GST rate for digital and most print ads in India is set at 18%, effective after September 22, 2025.
-   Print ads in newspapers without additional services have a reduced GST rate of 5%.
-   Advertisement services under GST include digital ads, print ads, TV/radio commercials, outdoor ads, and sponsorships.
-   Agencies must use SAC Code 998361 for GST compliance, charging 18% GST unless the 5% rate applies.
-   Businesses using foreign digital ads must pay 18% GST under the Reverse Charge Mechanism.

# New 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.

## New GST Rate on Advertisement Services in India

The Government of India is updating GST rates effective after **22 Sep 2025**. Below are the **expected new GST rates** for advertisement services (no compensation cess).

## Advertisement New GST Rate

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

_Note:_ If an agency sells newspaper ad space as an agent, GST at **18%** applies on the commission; pure sale of _space in print media_ remains at **5%**.

## New GST Rate on Newspaper Advertisement in India

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

_Reminder:_ “Print media” for the 5% rate covers newspapers/books; magazines and other media remain at **18%**.

## 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.

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## Advertisement Old GST Rate

### (Old GST Rates – Applicable Until 21st September)

| 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

## Old 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**](https://busy.in/gst/what-expenses-can-be-claimed-as-itc/)  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**](https://busy.in/gst/all-about-reverse-charge-mechanism-rcm-under-gst/)
-   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.

## About the author

**Vineet Goyal**

I am a chartered accountant with over 14 years of experience. I understand income tax, GST, and balancing financial records. I analyze financial statements and tax codes effectively. However, I also have a passion for writing, which is different from working with numbers. Recently, I started writing articles and blog posts. My goal is to make finance easier for everyday people to understand.

## Frequently asked questions

### What is the advertisement GST rate in India?

**18%** standard rate; **5%** for print ad space.

### What is the GST rate on newspaper advertisement?

**5%** for ad space only; **18%** if design/content included.

### How much GST is charged on digital ads?

**18%** on all online advertisements.

### Can businesses claim Input Tax Credit on ad spend?

Yes, if ads promote business & invoices have company **GSTIN**.

### Are influencer marketing services taxed under GST?

**18%** on influencer campaigns via agencies.

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