“I don’t have a GST number. What do I do? Can I continue working for you?” This is a common lament amongst freelance content writers in India with the advent of GST. With large scale confusion spread across the nation, it is a common doubt for content writers in India. Even clients of content writing service providers are confused. Should they award work to an unregistered freelance writer? Should they compulsorily need to request GSTIN from freelance writers before providing them projects to work on? What happens to on-going writing projects in the interim?
In order to eliminate all doubts around content writers and GST, here is a quick post.
GST is an umbrella tax that is to be collected and paid to government on selling of goods and services. For content writing services in India, the GST rate is fixed at 18% of the taxable value of service. Currently there are three types of GSTs applicable and the 18% GST needs to be treated as below –
1 – cGST and sGST = to be levied if seller and client are from same state (basically the tax is split between state and central govt.)
Rate = 9% cGST and 9% sGST
2 – iGST = to be levied if seller and client are from different states
Rate = 18% iGST
3 – Exemptions for content writers in India
1 – Information sought from buyer/client – PAN, GSTIN, Company name and full address for tax invoice
2 – Service Tax is abolished and GST needs to be charged from client
1 – Information sought from buyer/client – Company name and full address for tax invoice
2 – Service Tax is abolished and GST too is not to be charged
If you are a full time content developer we suggest you go for a GST number and comply by its provisions. You may not see any difference now, but it will be of significant impact when your business grows
Some clients may flat out refuse to work with you if you do not get a GST number, thus leading to loss of business
Do feel free to ask in case of queries.