Is Equalisation Levy to be paid in case of Loss?

Share This Thread
  1. adidam

    adidam New Member

    Hello, Government of India has introduced Equalisation Levy of 6% on Digital Advertisement such as Google Advertisement, Facebook Advertisement and many more online advertisement platforms and websites.

    I've a question over this.

    1. Is it regardless of, If I am making any profit or loss? I mean, If my ROI is 5% and if I pay 6% Equalisation Levy of 6% so I'm basically in -1% ROI. (Loss)

    What is the solution for this?

  2. Karan Batra

    Karan Batra Well-Known Member

    Yes, Equalisation Levy is required to be paid in case of Loss as well
    adidam likes this.
  3. adidam

    adidam New Member

    But since Business is in loss, How can we afford to pay the Levy?

    Why CA's or the Marketing firms aren't voicing the issue since, people/govt. have a very irregular and wrong faith that Online Businesses always make good ROIs. Some of them are really a single digit ROI businesses.

    Any work around?

    Also, Can I ask about my CIBIL questions on your forum?
  4. Yatin Gandhi

    Yatin Gandhi Active Member

    Dear Adidam

    This has nothing to do with your profitability or loss. Maybe, you havent understood the section properly.

    Just like you pay Service Tax, similarly - you have to pay Equalisation Levy.

    Service Tax is 15%, Equalisation Levy is only 6%
Draft saved Draft deleted
Similar Threads Forum Date
Fee levy on late filing of TDS on purchase of property Other Taxes May 20, 2016
Excise Levy by dealer Other Taxes Aug 7, 2015
Discriminative Levy of Service Tax on CA's Other Taxes Apr 10, 2014