Imagine your carefully planned international marketing campaign is ready to launch, only to hit a roadblock at the account setup stage. Faced with numerous country options and multiple currency choices including RMB and USD, the decision might seem overwhelming. The country selection for your Google Ads account directly impacts your advertising budget and could lead to significant savings.
Fundamentally, the key consideration when opening a Google Ads account is selecting the appropriate currency, which determines whether you'll incur additional tax obligations. There are two primary account types: RMB-denominated accounts and non-RMB accounts.
RMB Accounts: Official Invoices Come With a Tax Cost
The primary advantage of RMB accounts is their ability to issue official invoices, which is crucial for business clients requiring tax deductions. However, these accounts automatically incur a 6% tax fee. This charge is deducted directly from your advertising balance regardless of whether you actually request an invoice.
Non-RMB Accounts: Cost-Efficient but Without Invoices
Non-RMB accounts offer the distinct advantage of avoiding the 6% tax fee, potentially lowering advertising costs significantly. The US dollar account remains the most widely used option in this category. The trade-off is that these accounts cannot provide official invoices.
Making the Right Choice: Assess Your Needs
Understanding these fundamental differences allows for informed decision-making based on specific requirements:
- Businesses requiring invoices: If your organization needs official invoices for tax reporting and deductions, an RMB account is the clear choice. When opening through a reseller, they can provide the invoices directly. For self-service accounts, Google will mail monthly invoices to your designated address.
- Individuals or businesses not requiring invoices: For those without invoice requirements, non-RMB accounts (particularly USD accounts) offer the most cost-effective solution. The 6% savings can be reinvested into advertising efforts to enhance marketing performance.
Refund Policy: Simple and Straightforward
Should your advertising plans change after funding your account, Google's refund process is designed for convenience. Both RMB and non-RMB accounts process refunds through the original payment method. For self-funded accounts, simply closing the account triggers an automatic refund to your payment source. Reseller-funded accounts require contacting your representative to initiate the refund process.
Ultimately, selecting a country for your Google Ads account translates to choosing your account's currency. The decisive factor is whether your operation requires official invoices. This guide aims to help marketers navigate this critical decision and launch their international campaigns in the most cost-effective manner.