In this post, I am going to explain how to run Facebook ads without GST registration number and how to get GST registration number for Facebook ads. This post will helpful for Indian users which are using Facebook ads to promote their products.

If you are running Facebook ads then you might have seen a notification asking to add GST registration number to your ad account. Notification is given below

Because of the new Goods and Services Tax (GST), you’re required to register for GST and provide us with your GST registration number to continue running ads on Facebook.

What is GST registration number?

In July 2017, Indian government launches Goods and Services Tax (GST) which is also known as one nation one tax system.  Under this system every business carrying out a taxable supply of goods or services and whose turnover exceeds the threshold limit of Rs. 20 lakhs (Rs 10 lakhs for North Eastern and hill states) is required to register as a normal taxable person. After registration, you will get a number which is known as GST registration number.

GST registration number is a 15 digit number which is a combination of following five things.

  • First two digits are for State code.
  • Next ten digits are for PAN (Permanent Account Number).
  • Next one digit is for entity number of the same PAN holder is a state.
  • Next digit is alphabet Z by default.
  • The last digit is for checksum

Can we run Facebook ads without GST registration number?

For the time being, the answer is YES! You didn’t need to update GST registration number for Facebook ads immediately.  According to Facebook

To ensure that your Facebook ad campaigns will remain active, please update your account with GST registration as soon as possible. Your ongoing campaigns may be paused if you do not update your account.  

Facebook understands that most of the advertiser are freelancers and they actually don’t have a registered company, getting GST registration number is a big task for them and it will take time to first register a company then register for GST.

If your campaigns are stopped due to GST number then follow given process.

  • Click on “Add GST number” on given notification.
  • Fill the entire field given in the form.
  • Leave GST number field blank.
  • Click save.

 

Will I be charged GST on my purchases of Facebook ads?

As per Facebook, it will not charge GST for Facebook ads purchases.

 No. We won’t add GST to the costs of your purchases of Facebook ads. However, you’re still required to add your GST number to your ad account if you are an advertiser based in India.

GST Registration Process

Any business can get registered under GST by applying via the GST Online Portal or at GST Seva Kendra set up by the Government of India. GST registration is free, you didn’t need to pay for anything.

For online registration go to GST Online Portal and fill given registration form with correct details.  It is a two-step process, in the second step, it will verify your email id and phone number with OTP. It will also ask for your companies registration details along with PAN.

Add GST registration number to your Facebook ad account

There can be two situations, first, if your business country is set to India and other situation is if the business country isn’t set to India.  You need to follow different steps to add GST registration number for Facebooks ads in both cases.

Add your GST registration number to your Facebook ad account if your business country is set to India

  1. Go to your Ad Account Settings. If you have multiple ad accounts, you may need to select which one you want to work on.
  2. In the GST Registration Number field, enter your 15-character GST registration number with no spaces or special characters.
  3. Click Save Changes.

Add your GST registration number to your Facebook ad account if your business country isn’t set to India

  1. Go to your Ad Account Settings. If you have multiple ad accounts, you may need to select which one you want to work on.
  2. Click the Business Country drop-down menu and then select India.
  3. Enter your business name and then enter your 15-character GST registration number with no spaces or special characters.
  4. Click Save.
  5. Click Save Changes.

Conclusion: GST registration is a big headache for small business owner and freelancers which don’t have registered company but they want to advertise there products on Facebook.  For the time being, you can run Facebook ads without adding GST number but in future, it may become mandatory.  GST registration is free, so register yourself as soon as possible.