Does an advertising agency owe business tax on amounts it receives for the purpose of purchasing advertising space/time on behalf of its clients?

An advertising agency does NOT owe business tax on amounts it receives from a client and transfers to a media outlet as payment for advertising space or time.  

An advertising agency DOES owe business tax on any amounts it receives and ultimately retains in transactions related to obtaining advertising space or time for clients.  Taxable amounts include any commissions or other consideration received from the media outlet as well as any fees charged to the client in excess of the cost of the advertising block. 

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