Tax applications on digital marketing agencies

Ajith Chand Kanagala (CEO) (51 Points)

13 March 2016  

We do provide Digital Marketing services like SEO, Facebook campaigns, google adwords campaigns, chitika campaigns etc.,

Google Adwords charge service tax of 14.5%.

Our clients pay us Campaigns Budget + Our Fee. (to our bank account)

We run ads on google and they charge at last day of every month. If we add funds to our account service tax of 14.5% would be deducted by default and remaining balance would be added.  IN THIS CASE HOW SERVICE TAX IS APPLICABLE FOR ME

In many countires (like US) there is no service tax on digital ads. So, when we advertise on facebook (USD), Chitika etc., we will not be charged with service tax. Here also clients pay us their campaigns amounts + our fee. IN THIS CASE HOW SERVICE TAX IS APPLICABLE FOR ME

I would be very thankful if any one helps me with this.