Google Ads to pass cost of digital taxes to advertisers, starting in November

Starting in November, advertisers in Austria and in the United Kingdom will have Digital Services Taxes (DST) added into their Google bill.

In Austria, the DST is 5% and in the United Kingdom the DST is 2%. The DST will be added to the budget spent in the invoice.

If an advertiser has a bill of 1,000,000 euros in Austria, a digital tax of 50,000 euros will be added by Google. In this example, 2,000 euros will be added in the UK. Google clarifies that the tax is added in addition to the budget spent.

Starting already this month, Amazon sellers, in the UK, are already bearing the cost of the digital services tax (DST).

Turkey to have an additional fee in Google Ads, but due to regulatory operating costs

Turkey will also have an additional fee in Google Ads, but due to regulatory operating costs. Google says the fee of 5% in Turkey will start to be charged in November as well.

Google explains the fee in Turkey with the complexity and cost of complying with regulations in Turkey.

All advertisers impacted, no matter where they are based

The additional country fees on Google Ads impact all advertisers, no matter where they are located.

Google says that fees are charged based on the spend (impressions or clicks) in the specific country with the additional fee.