Is service tax applicable on media expenses.


This query is : Resolved 

(Querist)
09 June 2015 Dear Sir/Madam,

Our company is providing services to educational institute by advertising on google and other website. We are charging commission on it.so at a time of billing we bill them amount spend on media and % of commission on it.

My question is while we are raising invoice to educational institute. Service tax is applicable on only commission or commission and money spend on media.

Profile Image

Guest

Profile Image

Guest (Expert)
09 June 2015 Dear Sudesh,

Generally, service tax is applicable only on the commission and not on the money spent on media. However, in some cases, the expenditure on media will also be added for service tax. But for that, I need to know the elaborate nature of your contract with educational institutions because I have to consider the peculiarities of your business nature before giving proper advice. If possible, you may PM me the terms & conditions of your contract hiding confidential information if any. I will go through the same and advise you accordingly.

Sudesh (Querist)
10 June 2015 Dear sir,

Thanks for your revert.
Earlier we were charging service tax only on the commission. At that time invoice raised by media not have any service tax but in recent bill indian media companies like Times Now providing bill which include serrvice tax and foreighn companies like facebook and linkedin not charged any taxes. So in this case can i charge service tax to my client.


You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now



Similar Resolved Queries


loading


Unanswered Queries



CCI Pro



Answer Query



Company
ARTICLESHIP 07 November 2026
Article Assisstant

DPV & Associates

Chennai

CA Inter

View Details
Company
10 November 2026
FP&A Executive

Gujarat Guardian

Ankleshwar

CA Final

View Details
Company
30 October 2026
Asst Manager Accounts

Goodwin Pumps India Pvt Ltd

Chengalpattu

CA Inter

View Details
Company
10 November 2026
Direct Tax Manager

CAAQ CONSULTANCY PVT LTD

New Delhi

CA Final

View Details
Company
ARTICLESHIP 29 October 2026
Article Assistant (CA Inter / CMA Inter) - Thrissur

Varma Raja & Associates

Thrissur

CA Inter

View Details
Company
ARTICLESHIP 25 October 2026
Article Intern (CA Articleship)

Arpan Bohra & Co

Hyderabad

CA Inter

View Details
Company
24 October 2026
CA Industrial Trainee

Fytomax Nutrition Private Limited

Aurangabad

CA Inter

View Details
Company
ARTICLESHIP 17 October 2026
Articled Assistant

RRPM & Associates LLP

Chennai

CA Inter

View Details