GST and Income Tax Laws for individual Youtuber, Youtube income through Google Adsense Ads, memberships, super chats, super thanks, and outside youtube brand promotions etc.

[manu garg]

so here is the thing,

i have started doing youtube Gaming a decade ago and now it seems like starting well i am getting good amount of views well no income received yet, i got into youtube partner program that will allow me soon to receive different types of incomes directly from youtube and also outside youtube as well.

but now i am worried about different taxation like income tax and goods and service tax.

please anyone help me understand how can i deal with this and what options do i have.

income received from google adsense advertisements
income received from youtube super chats, super thanks, memberships via google adsense
income received from outside youtube brand promotions, paid partnership if any in future

all i knew was i only needed to pay income tax which was fine but now i am searching on the internet and finding out that i also need to pay GST which is concerning because i am an individual and would like to stay as it is. i am not willing to run a business any sooner but if this is the only option then what can i do.

i found an article on cleartax which states that upto 20 LPA i can avoid gst registration but as soon as i get above 20 LPA which is the case of the maharashtra, i need to register for a GST.

also i found out that i have to pay 0% gst if i file LUT which is even more confusing to me.

'The purpose of an LUT (Letter of Undertaking) in GST is to allow exporters to ship goods and services internationally without paying Integrated GST (IGST) upfront.'

i am so worried and confused, please help me simplified and understand.

[YAGAY andSUN]

YouTube Income & Taxes — What You Need to Know (For Indian Creators)

Since you’ve started making money (or are about to) from YouTube — through AdSense, super chats, memberships, and even brand deals — it’s great that you’re thinking ahead about taxes. It might seem a bit overwhelming at first, but here’s a simple breakdown of what applies to Indian creators like us, especially if you live in Maharashtra.

1. INCOME TAX — Yes, You Have to Pay It

Income tax applies to all income, whether it’s from a job, freelancing, or YouTube. As a creator, the money you make from AdSense, super chats, and brand deals is treated as business income, even if you're just an individual and not running a company.

You’ll need to file your taxes every year (usually between April and July), and if your income is high, you may also have to pay advance tax every quarter.

You may also deduct your expenses. That includes stuff like:

• Gaming PC or laptop
• Editing software
• Mic, webcam, or lights
• Broadband and electricity (even partial)
• Rent (if you use a room for content creation)
• Fees paid to editors or designers

So you're not taxed on the full income — only the profit after deducting these expenses.

There's also a Presumptive Tax scheme (Section 44ADA), where if your total income is under ₹50 lakhs, you can just declare 50% of it as profit and pay tax only on that. It’s easier and helps avoid maintaining detailed accounts.

🧾 2. GST — Only Kicks In After ₹20 Lakhs

Now about GST (Goods and Services Tax) — this is where most people get confused.

Here’s the deal:

• If your total yearly income from YouTube + brand deals is under ₹20 lakhs, you don’t need to register for GST. So you're good until you hit that mark.
• Once your income crosses ₹20 lakhs in a financial year, you need to register for GST — even if you're just one person and not a company.

But don’t panic — even after registering, you might not need to charge or pay GST on most of your income.

That’s because Google (AdSense, YouTube, etc.) is based outside India, and the payments you receive from them are treated as “export of services.”

Exports are taxed at 0% under GST, but only if you file something called an LUT (Letter of Undertaking). Filing LUT is free, online, and not very complicated.

In nut and Shell - 

• Cross ₹20L/year?  -  Register for GST.
• Want to avoid paying GST on YouTube income? - In case of Export of Service -  File LUT.
• Still earn from Indian brands? → Charge 18% GST on brand deals inside India.

 What you need to do Do?

Right now:

• Track how much you’re earning each month.
• No GST needed if you stay below ₹20L/year — just focus on income tax.

If you start earning ₹1.5L–2L/month regularly:

• Prepare for GST registration.
• File an LUT to avoid GST on foreign payments (like from AdSense).

For Income Tax:

• Start filing returns if you haven’t already.
• Consider the 44ADA scheme to keep it simple.
• Keep records of your expenses (bills, invoices, receipts).

Further Suggestions: 

• You don’t need to open a company — working as an individual is perfectly fine.
• It helps to use a separate bank account for all YouTube-related income and expenses.
• Once income gets serious, it’s a smart move to talk to a CA (chartered accountant) — at least once a year.
• If you're getting brand deals from Indian companies in the future, you may need to charge them 18% GST once you’re registered.

***

[Ganeshan Kalyani]

GST registration is required when an annual turnover exceeds Rs.20 lakhs (Rs.10 lakhs for specified states).

[Shilpi Jain]

Yours would most probably be an export of service. Then immediate registration required from Re. 1 revenue as it is an inter-State supply.
Apply for an LUT online. Nothing complex.

Issue tax invoice without GST.

AI Summary

Digital Content Creators Navigate Tax Landscape: GST, Income Tax Implications for YouTubers Earning Through Ads and Sponsorships A YouTuber seeks guidance on taxation for digital content creation income in India. The discussion covers income tax and GST obligations for individual creators earning through YouTube ads, memberships, and brand promotions. Key points include GST registration threshold of Rs. 20 lakhs, potential 0% GST through Letter of Undertaking (LUT) for export services, and income tax deductions for content creation expenses.