From October 2018, Facebook ads in India will be sold by Facebook India, billed and paid for in Indian rupees and subject to a goods and services tax (GST) of 18% and Tax Deducted at Source (TDS) of 2%. This update affects all ad accounts that have their business country set to India.

To continue advertising on Facebook, go to your Business Settings and ensure that:

• a payment method has been added to your account;
• your currency is set to Indian rupee (INR); and

  • Note: Learn more about how currency affects your ad account.
• your business name, address and Goods and Services Tax Identification Number (GSTIN) have been updated.

  • Note: Entering a GSTIN isn't mandatory. However, if you're registered for GST and would like to take Input Tax Credit (subject to the fulfilment of other criteria under applicable law, where applicable), enter the GSTIN of your main state of operations or where your business is headquartered.

Please note that if you're an advertiser that resides in a Special Economic Zone (SEZ), you may be certified with the government as GST-exempt. If this applies to you, contact client services to provide us with your valid SEZ certificate.

GST is added whenever you're charged for your ads. Although TDS won't appear on your invoice, you're still required to withhold and pay TDS to the government and provide the TDS Certificate from the government for Facebook as evidence of payment. To read more about TDS, visit the website of the Indian Tax Authority.

As an example, let's say that you were recently charged USD 100 because you reached your USD 100 credit limit. The subtotal for the charge will be for USD 100 in ads costs, and then an 18% GST will be added on top of that, so you'll be invoiced USD 118 in total for that charge (USD 100 + USD 18 = USD 118). You'll be responsible for paying the 2% TDS to the Indian government as per the standard process and will only need to pay USD 116 (USD 100 + USD 18 - USD 2 = USD 116) to Facebook. Because GST and TDS are added on top of charges, you won't reach your credit limit faster, but you may be charged more than your credit limit amount.

Bear in mind that as Facebook isn't able to give tax advice, we suggest that you contact your country's tax authority for more help and information.

More India GST resources

• Add your business's GST registration number to your ad account
• I'm an advertiser based in India. How can I get a GST registration number?

* Nguồn: Facebook