Vat on ebooks

Others 2625 views 1 replies

My company recently engaged in selling eBooks online. The process involves:

  1. Publishers upload eBooks (digital formats) to a central repository.
  2. Central repository = Digital Warehouse + Distribution engine for encrypted eBooks
  3. Retail eBookstore obtains its real-time inventory from the Central Repository to fulfill an eBook purchase by an end-user.

So, there are three entities -

  1. Publisher/ Copyrights Holder;
  2. Service Provider - Central Repository/ Digital Warehouse/ Distributor; and
  3. Retailer who has a catalogue of eBooks and who is actually delivering the book to an end-user, however, receiving it in real-time from the Central Repository.

My questions are, thus,

  1. if there is a Sales Tax/ VAT on eBooks/ Digital Books (which are not in the form of CDs/ DVDs)?;
  2. If yes, then who pays it - Central Respository or the Retailer? 
  3. What are the other taxes applicable in the process?

Any guidelines and advise is greatly appreciated.

Replies (1)

VAT/ CST is applicable on every stage of sales. As far as Service Tax is Concerned,  this seems to get taxed under the category 'Online information and database retrieval Service' category.


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details
Company
Featured 14 March 2026
Article Trainee

N N V Satish&co

Hyderabad

CA Inter

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details
Company
Featured 19 March 2026
Article Assistant

Gupta Sachdeva & Co. Chartered Accountants

New Delhi

CA Final

View Details
Company
Featured 12 March 2026
Customer Relationship Executive

TAXLET

Calicut

B.Com

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 14 March 2026
Associate CA

N N V Satish&co

Hyderabad

CA

View Details