Advertising Services & Commission

Question 1

How is Taxation of

Advertising Services (Electronic & Print)

Advertising Services (Other than Electronic & Print)

&

Advertising Commission (All types)

Answer 1

• Advertisement Services (Electronic & Print) u/S153 (whether amount collected by the agent or by the provider himself) – Rate 1.5% - MTR
• Advertisement Services (Other than Electronic & Print) u/S153 (whether amount collected by the agent or by the provider himself) – Rate 3% - MTR
• Advertising Commission (All types of adertising)– S233 - When paid by Individual & Unregistered AoP, no WH; Minimum commission considered 15%; Calculation gross up Ex. Commission amount of advertising services by 85% and apply tax % to 15% of grossed up amount. A/85x15xtax rate (10%); Tax Deducted Minimum Tax