Advertisers, don’t be alarmed when your ad spend goes up by as much as 5%. Google has just announced new fees in 3 countries. 

When will the fees start?

The fees will start being charged on November 1, 2020.

Where will these fees apply? 

Google will charge a fee for ads served in the UK, Austria and Turkey. 

Why are there fees in these 3 countries?

Turkey has fees because of the cost and complexity of complying with Turkish regulations. 

Austria and the UK just started charging a digital service tax (DST) so advertisers will be paying this tax. 

How much will the fee be?

Turkey and Austria: 5%

UK: 2% 

Where will these fees show up?

The fees will be on the Google Ads invoice or statement. They will be a separate line item per country. You can also see them displayed in the “Transaction” section of Google Ads. 

Will there be sales tax on top of these fees?

Yes. Any taxes that may apply in your country may also apply to the new fees. 

When will I be charged this fee?

If you pay by monthly invoice or automatic payments, these fees will be added to your payment. So if you owe $100 and get a 5% fee of $5, then you will owe $105 (plus any taxes that apply in your location).

If you pay manually, these fees may be charged after the payment is fully spent. You may be left with an open balance which will be automatically deducted from the next prepayment. So, if you owe $5 in fees and you make a payment for $100, you would have $95 credit towards ads and available balance would show as $95. 

Learn more here at Google.