Revenue from mobile apps - admob, facebook

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Deepika (Querist)

06 July 2017 Dear Sir,

This question is regarding applicability of GST on revenue earned from Mobile Applications on Google Play and iOS AppStore. Revenue is from following:

1. Ad revenue from Google Admob. Revenue is received from Google Singapore.
2. Ad Revenue from Facebook ads. Revenue is received from Facebook Ireland.

Pl. clarify considering the case when the revenue is more than 20 L. Looking forward to an early reply.

Thanks.

Amol S Joglekar

Amol S Joglekar (Expert)

06 July 2017 what is the name that is given by google while paying this amount to you?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

06 July 2017 It will fall under export of service and no GST applicable.

Deepika

Deepika (Querist)

06 July 2017 Dear SEETHARAMAN Sir, Thanks for the reply, can you pl. clarify the GST code/section based on which it can be considered as Export of Service. Thanks.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

06 July 2017 “Export of Services” as defined under Section 2 (6) of IGST Act, 2017 means the supply of any service, when –
1.the supplier of service is located in India;

2.the recipient of service is located outside India;

3.the place of supply of service is outside India;

4.the payment for such service has been received by the supplier of service in convertible foreign exchange; and

5.the supplier of service and the recipient of service are not merely establishments of a distinct person in accordance with Explanation 1 in section 8;

Amol S Joglekar

Amol S Joglekar (Expert)

06 July 2017 Deepika can you please enlighten whether you satisfy those conditions?

Deepika

Deepika (Querist)

06 July 2017 Thank you SEETHARAMAN Sir.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

06 July 2017 You are welcome...........................

Deepika

Deepika (Querist)

03 September 2017 Dear SEETHARAMAN Sir,

We are filing the GSTR-1 from for July 2017. We are mentioning our revenue as Export and Exempt from GST. Do we need to give some undertaking or bank guarantee? Pl. note our yearly revenue is around 60L.

Looking forward to your guidance and early reply as we need to submit the return by 5th Sep.

Thanks.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

03 September 2017 See the link for more details on filing of form.
https://taxmantra.com/payment-of-gst-on-export-of-services-letter-of-undertaking-or-bond/

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