Report

India to scrap 6% equalisation levy on digital ads, leading to revenue loss

Business Standard Free Beginner India

Reports the removal of the 6 percent equalisation levy on foreign digital ad platforms from April 2025, a real change to the effective cost of every rupee an Indian founder puts into Meta's auction.

  • The equalisation levy, sometimes called the Google tax, was scrapped from April 1, 2025, lowering the effective cost of Meta ad spend for Indian advertisers
  • It had applied at 6 percent on payments over 1 lakh rupees a year to foreign platforms like Meta and Google
  • Useful context for a founder comparing their 2024 blended CAC to their 2025 numbers
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The question it answers

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