Do bloggers need to pay for GST?

Do bloggers need to pay for GST?

Goods and services tax (GST) is an indirect tax which was introduced by the Government of India and effect from July 1st 2017. GST applicable through out India and it replaced the multiple taxes levied by the State and Central governments which includes central excise duty, customs duty, service tax, surcharges and VAT. Direct taxes like income tax and corporate tax are not affected by GST.

GST is levied in all transactions and all types of services such as purchase, sale, transfer, lease and import of goods/services. GST rates are separated in 5 different slabs 0%, 5%, 12%, 18% and 28%.

How GST Will Impact On Bloggers:

I want to clarify one thing to all fellow bloggers who are worrying about their blogging money, we no need to pay GST from our pockets. We are service providers and we should collect the GST 18% from the customers who are using our services and we need to pay the same to the government.

As a blogger, we make the most of income from below sources.

  • Displaying 3rd party advertisements on our blog such as Google Adsense or any other ad networks.
  • Selling ad space to our clients.
  • Selling e-books directly from our website or from any e-commerce website.
  • Affiliate marketing.
  • Sponsored posts.

we no need to pay GST on Affiliate commission and 3rd party advertisement but applicable only on Sponsored posts, selling e-books and selling ad space.

Main points under GST:

  • GST will be applicable on any invoice that we raised to any party / company for the payment.
  • we no need to pay GST on Affiliate commission and 3rd party advertisement but applicable only on Sponsored posts, selling e-books and selling ad space.
  • If we raised invoice for commission also GST will be applicable. They need to pay the GST to you and you need to pay the same to government. Some companies like Cuelinks, we need to raise the Invoice and request them for our commission payment. In this case, GST will be applicable. We need to raise the invoice to Cuelinks with GST and will pay us with GST by deducting 2% TDS.
  • All bloggers should collect the GST for their services.
  • Whether their turn over exceeds 20 lakhs or below 20 lakhs, all bloggers should obtain GST registration.

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