GST on selling advertisement space in souvenirs- CBIC Clarification
CBIC issued Circular No. 177/09/2022 dated 3rd August 2022 to clarify various issues including the issue “GST on selling advertisement space in souvenirs” on the basis of representations from the stakeholders.
Representation has been received regarding the GST rate applicable on selling of space for advertisement in souvenirs published in the form of books by different institutions/organizations like educational institutions, social, cultural, and religious organizations including clubs, etc.
The CBIC clarifies as below:
- As per serial number (i) of entry 21 of notification No. 11/2017-Central Tax (Rate) dated 28.06.2017 selling of space for advertisement in print media attracts GST @ 5%. The term ‘print media’ has been defined in clause (zt) of notification No.12/2017-Central Tax (Rate) dated 28.06.2017 as under:
“print media” means, —
- i. ‘book’ as defined in sub-section (1) of section 1 of the Press and Registration of Books Act, 1867 (25 of 1867), but does not include business directories, yellow pages and trade catalogues which are primarily meant for commercial purposes;
- ii. …….
- Further, sub-section (1) of section 1 of the Press and Registration of Books Act, 1867 defines ‘book’ as follows:
“Book” includes every volume, part or division of a volume, and pamphlet, in any language and every sheet of music, map, chart or plan separately printed.
- It therefore appears that ‘book’ has been defined in the Press and Registration of Books Act, 1867 in an inclusive manner with a wide ambit which would cover souvenir book also.
- Accordingly, as recommended by the GST Council, it is clarified sale of space for advertisement in souvenir book is covered under serial number (i) of entry 21 of Notification No. 11/2017-Central Tax (Rate) and attracts GST @ 5%.
