Equalisation Levy on use of Google AdWords
Following is the Communication Received from Google regarding use of Google Adwords :
This is to inform you that as per the Notification No. 37/ 2016: F.No. 370142/12/2016-TPL dated 27 May 2016 read with Finance Act, 2016, Government of India has levied an ‘Equalisation Levy’ on provision of online advertisement services or any other service or facility for the purpose of online advertisement provided on or after 1 June 2016 by a Foreign Company to specified customers in India.
We wanted to update you that this levy is not applicable to your use of the AdWords Program with respect to your contract and payment for digital advertising services to Google India Private Limited (Indian Company) and accordingly there is no action required at your end. The levy impacts our cost of business operations in India and we are working through the implications.
The Google Payments Team
Google India Pvt. Ltd., No. 3, RMZ Infinity, Tower E, 4th floor, Old Madras Road, Bangalore – 560016, India
- Equalisation levy Meaning
- Equalisation levy Salient Features
- Equalisation levy applicability date notified by CBDT
- Equalisation levy Rules 2016 notified by CBDT
- All about EQUALISATION LEVY on online advertisement
- Non payment of equalization levy : Disallowance u/s 40(a)(ib)
- Reasons for equalisation levy and rate of equalisation levy in Budget 2016
- Equalization Levy : Committee brings clarity