10 June 2015
Hello Team, My query is I want to start an online blog which is open for public. But No sales or purchase of goods and services for here. The revenue for this blog s generated by advertisers After some period of tell. And I also want to give cash n kind prize money to best posts in my site. So do I need to register service tax?? I heard to register a service tax, one should have a commercial place ... is it so...kindly guide me regarding what kind of registration is required for online social networking site.
11 June 2015
Yes you do need to register under Service tax laws. However, registration is mandatory only if your advertisement income crosses Rs. 9 lacs in a financial year.
Please of business is essential for registration. The place of work should be mentioned, which could be any place from where you would work (including home).
11 June 2015
Thank you so much sir. Few even suggested me to get register as a company.. so right now u suggest me that, no registration is required . Right sir? If there are any procedures to be followed by a starting a social networking website, kindly guide me. Once again thanks a lot..
12 June 2015
You are not required to get registered under Service tax laws. However, once you start incurring expenses or generating revenues, you need to open a Proprietary or Partnership firm or LLP. Considering its a startup, registering as a Company may not be recommended from tax perspective, as it involves more compliances.
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