How much tax is levied on the earnings from YouTube?
In today's time, running a YouTube channel has become a big source of income. There are millions of people in india who run their YouTube channel. There are many people who earn lakhs of rupees every month from this work. But, do you know that the government has to pay tax on this income as well. Let us know today that if you are earning from YouTube, then how much tax will you have to pay on it.
Tax rules
How much tax will be levied on the earnings from YouTube depends on whether it is kept in "Income from other sources" or "Income from business and profession". In most cases it is considered as business income and the provisions of the Income Tax Act 1961 apply to it.
Tax on income less than 1 crore
If the total income is less than 1 crore, then the taxpayer has to follow the normal tax procedure. It is necessary to keep financial records, but tax audit is not required.
On income of more than 1 crore
But if the income is more than 1 crore, then it is mandatory to get a tax audit done under section 44AB. In such a case, the channel owner has to get the audit done through a chartered accountant. Net taxable income is calculated after deducting business expenses and depreciation.
GST is also applicable
18% GST (9% CGST and 9% SGST) is applicable on advertising income from YouTube. For this, YouTube creators are required to get GST registration.
Tax rules
How much tax will be levied on the earnings from YouTube depends on whether it is kept in "Income from other sources" or "Income from business and profession". In most cases it is considered as business income and the provisions of the Income Tax Act 1961 apply to it.
Tax on income less than 1 crore
If the total income is less than 1 crore, then the taxpayer has to follow the normal tax procedure. It is necessary to keep financial records, but tax audit is not required.
On income of more than 1 crore
But if the income is more than 1 crore, then it is mandatory to get a tax audit done under section 44AB. In such a case, the channel owner has to get the audit done through a chartered accountant. Net taxable income is calculated after deducting business expenses and depreciation.
GST is also applicable
18% GST (9% CGST and 9% SGST) is applicable on advertising income from YouTube. For this, YouTube creators are required to get GST registration.