 "TDSAT stays order to tax adjusted gross revenues of wireless ISPs")
The Telecom Disputes Settlement & Appellate Tribunal (TDSAT) has stayed a Department of Telecommunications (DoT) order to tax adjusted gross revenue of wireless internet service providers, categorised as carriers with unified licence.
Unified licence holders provide both wired and wireless broadband service to customers. After the stay order, these providers would be exempt from paying tax on their adjusted gross revenue.
“This will not only benefit and bring down the cost of internet and broadband for common users, but also give a boost to the Digital India programme.” said Rajesh Chharia, president, Internet Service Providers Association of India.
Earlier, the tribunal had only exempted old internet service providers from paying the licence fee order issued by the Centre, while unified licence holders were not included in the order.
According to DoT rules, internet service providers have to pay certain percentage of their annual revenue, which is adjusted against items such as taxes.
Ispai had moved TDSAT against this order and obtained a stay order in favour of the old internet service providers, which were providing service only via wire lines. ISPAI represents both telecom companies such as Bharti Airtel and internet service providers such as Hathway Cable and Datacom Private Ltd.
Unified licence holders provide both wired and wireless broadband service to customers. After the stay order, these providers would be exempt from paying tax on their adjusted gross revenue.
“This will not only benefit and bring down the cost of internet and broadband for common users, but also give a boost to the Digital India programme.” said Rajesh Chharia, president, Internet Service Providers Association of India.
Earlier, the tribunal had only exempted old internet service providers from paying the licence fee order issued by the Centre, while unified licence holders were not included in the order.
According to DoT rules, internet service providers have to pay certain percentage of their annual revenue, which is adjusted against items such as taxes.
Ispai had moved TDSAT against this order and obtained a stay order in favour of the old internet service providers, which were providing service only via wire lines. ISPAI represents both telecom companies such as Bharti Airtel and internet service providers such as Hathway Cable and Datacom Private Ltd.
