The Government of Punjab has sent tax notices to the social media platforms Google, Facebook and video sharing websites like Dailymotion and YouTube and asked them to register till June 17, 2016. The Government also asked all these platforms to pay for displaying Punjab-specific advertisements under the Punjab Sales Tax on Services Act 2012. This list also include a local website Mustakbil.com.
Punjab Government Send Tax Notices to Google & Facebook
Th tax department said that:
“As citizens of Punjab are regular user of all such websites while individuals and companies get their advertisements booked on such websites they are liable to be taxed. The tax is justified when Punjab based companies are availing services of such websites.”
It also added that:
“As you are providing taxable services in Punjab you, therefore, are liable to comply with the rules under this jurisdiction.”
The Punjab Government warned these social media giants that it will not issue another notice for notifying them and will take action against the websites under the mentioned rules.