E.g. Sale of airtime, advertising space and web media space in various media modes.
Relevant section for zero-rating: Section 21(3)(u) of the GST Act
GST treatment depends on the place of circulation of the advertisement:
Standard-rate
Zero-rate
If at least 51% of the total circulation of the same advertisement is overseas, the service may be zero-rated.
E.g. Consultation and advisory services involving the choice of media, timing, frequency, etc. to optimise client's media investment.
Relevant provision for zero-rating: Section 21(3)(j) of the GST Act.
GST treatment depends on the contracting and benefiting parties:
Zero-rate, provided that the contract does not indicate a local recipient of the service and the service does not benefit a local party.
Otherwise, the service has to be standard-rated.
E.g. Services that involve designing and producing the advertising artwork.
Relevant section for zero-rating: Section 21(3)(j) of the GST Act.
E.g. Public Relations consultation and management of reputation and relationships.
GST Treatment Relevant section for zero-rating: Section 21(3)(j) of the GST Act.
E.g. Organising exhibitions or conventions for promotional campaigns.
Relevant section for zero-rating: Section 21(3)(k) of the GST Act.
Zero-rate, provided that the service does not benefit a local party.
Relevant section for zero-rating: Section 21(3)(i) of the GST Act.
For more information, please refer to GST: Guide for Advertising Industry (452KB).
452KB, PDF
This is a supply of web advertising space.
If there is no access restriction to the website or webpage, the supply can be zero-rated.
If the access is allowed only to Singapore viewers/browsers, the media sale of web advertising space must be standard-rated.
If at least 51% of the total circulation is outside Singapore, you can zero-rate the entire supply of advertising space to your client.
If less than 51% of the circulation is outside Singapore, you must standard-rate the entire value of supply of advertising space to your client.
The 51% rule of circulation applies only to magazine of the same language, version and edition for distribution to multiple countries. It is determined based on expected volume of the circulation in each country or average actual circulation if there is an established track record.