The agencies, after getting paid by the government departments(s) as per government rates, keep their own commission and forward the rest of the amount to media outlets or the vendors, as the case may be. In such cases, therefore, the question of tax evasion by agencies does not arise.
As a representative of all advertising agencies, the PAA firmly stands for honest business practices, while at the same time calling upon the tax authorities concerned to stop forthwith the harassment of its member agencies on the pretext of GST collection and recoveries.-PR
Copyright Business Recorder, 2017