Is RCM applicable on advertisement expenses?

Advertisement through registered person outside India As per Section 5(3) of the IGST Act, 2017 reverse charge mechanism is applicable on notified goods and services.

Do you need GST for Facebook ads?

From October 2018, Facebook ads in India will be sold by Facebook India, billed and paid for in Indian rupees, and subject to a goods and services tax (GST) and tax deducted at source (TDS).

Can we claim GST on RCM?

The recipient can avail of ITC on GST amount paid under RCM on receipt of goods or services, only if such goods or services are used or will be used for business purposes. The recipient cannot use the ITC to pay output GST on goods or services under reverse charge and should be paid in cash only.

Is GST applicable on advertisement expenses?

If the advertisement agency works on principal to principal basis, that is, buys space from the newspaper and sells such space for advertisement to clients on its own account, that is, as a principal, it would be liable to pay GST @5\% on the full amount charged by advertisement agency from the client. 3.

Which expenses are applicable for RCM under GST?

What are the Profit & Loss items which might attract GST under RCM

• Rent.
• Commission payments.
• Printing and stationery.
• Repairs and Maintenance.
• Office Maintenance.
• Vehicle maintenance.
• Computer maintenance.
• Legal Fees.

How do I save tax on Facebook ads?

Add your GST registration number to your Facebook ad account

1. In the GST registration number field, enter your 15-character GST registration number with no spaces or special characters.
2. Click Save Changes.

How do I get GST invoice for Facebook ads?

To add your GSTIN if you’re already a Facebook advertiser:

1. From a computer, go to your payment settings in Ads Manager (www.facebook.com/ads/manager/account_settings).
2. In the GST registration number field, enter your 15-character GST registration number with no spaces or special characters.
3. Click Save Changes.

Does Facebook charge VAT on ads?

If you’re not purchasing Facebook ads for a business purpose but rather a private non-business purpose, we apply VAT to the cost of your Facebook ad purchase at the applicable local tax rate. Learn how to find VAT charges on your Facebook ads receipts.

Does Facebook charge GST in India?

Beginning October 2018, Facebook ads in India will be sold by Facebook India, billed and paid for in Indian rupees and subject to a Goods and Services Tax (GST) and Tax Deducted at Source (TDS). This update affects all ad accounts that have their business country set to India.

How do you take RCM input into GST?

Input Tax Credit under RCM A supplier cannot take Input Tax Credit of GST paid on goods or services used to make supplies on which the recipient is liable to pay tax under reverse charge. The recipient can avail Input Tax Credit of GST amount that is paid under reverse charge on receipt of goods or services by him.