BUSINESS

DTH industry demands duty reduction

July 07, 2014

Direct-to-home (DTH) service providers have asked the government to rationalize tax structure for the sector and reduce the license fee. The service providers demand removing multiple taxation faced by the DTH sector, as it is becoming a heavy burden on them.

Till GST (Goods and Services Tax) is not rolled out, the industry has asked for abatement in paying service tax, as currently Central and State Governments both are imposing taxes on the DTH industry.

The DTH industry has to pay entertainment tax to state governments and service tax to the central government.

The cable and DTH industry have demanded a reduction in the license fee paid by DTH operators to 6% from 10% and lowering of customs duty on STBs and brings it to the earlier 5% from 10% currently, as rupee depreciation has put huge pressure on the Multi Service Operators (MSO) in importing STBs.


Consumer durables industry demands incentives

Consumer Durables industry body Consumer Electronics and Appliances Manufacturers Association (CEAMA) demands incentives for the home appliances industry similar to those given to the consumer electronics industry under the Electronics System Design and Manufacturing policy.

CEAMA has asked early resolution to the GST issueas it will reduce the burden of compliance for businesses; bring down the total incidence of taxes by eliminating cascading taxes on goods and services.

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