India Goods and Services Tax (GST) law changes in 2017
Beginning July 1, 2017, due to a change in Goods and Services Tax (GST) laws in India, Google will be responsible for determining, charging, and remitting GST for Google Play Books purchases by Indian customers. The GST rate will be 18 percent for purchases made by Indian customers.
This change applies to all paid books purchases made by customers in India, even if your business is not located in India. Your earnings on sales to customers in India may be affected, as follows:
- Tax exclusive prices: If you provide tax exclusive prices for India (IN), your revenue share for sales in India will not change, because revenue share has always been calculated on a tax exclusive basis. However, customers will need to pay the tax, and so the effective price of your books will increase.
- Tax inclusive prices: If you provide tax inclusive prices for India (IN), your revenue will decrease by roughly 18 percent for sales in India, as we will deduct the GST from the List Price before calculating your revenue share.