Mobile phone bills to rise post GST

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Mobile users will have to shell out an extra Rs 30 towards if their monthly phone bill is Rs1,000 with the government imposing a goods & services tax (GST ) of 18% on telecom services.

This may have an inflationary effect, hit consumption demand and negatively impact telco earnings, going forward, say analysts.
At present, telecom services attracts 15% service tax, but once the new 18% GST rate kicks in, consumers will see an effective three percentage point rise in their phone bills. This means, a consumer now paying a monthly bill of Rs 1,000 will have to spend Rs 30 more.

Likewise, the effective talk-time for prepaid customers will stand reduced. For instance, for a Rs 100 prepaid voucher, the effective talk-time will now be Rs 82 instead Rs 85.

GST: Mobile phone bills to rise post GST, Telecom News, ET Telecom
 
sadik said:
Muje laga Ab GST aneke bad kuch sasta hoga pr ye to increase ho gaya

You got it right. Cost of monthly dth subscription will fall as you will only pay 18% tax compared to current 15% services tax+ Entertainment tax(which can go as high as Rs 50)+ vat etc

 
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Sarkar said:
You got it right. Cost of monthly dth subscription will fall as you will only pay 18% tax compared to current 15% services tax+ Entertainment tax(which can go as high as Rs 50)+ vat etc

Check this post @Ritesh bro.
 
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Sarkar said:
You got it right. Cost of monthly dth subscription will fall as you will only pay 18% tax compared to current 15% services tax+ Entertainment tax(which can go as high as Rs 50)+ vat etc

Can you pls explain Sarkar bro, how it will get cheaper after GST???
 
Even if the tax on dth reduces, it will depend on the intent of operators whether they reduce pack rates or not.
(Same will be applicable wherever tax rate will be lower).
(For eg, in Mumbai, movie tickets have a tax of around 50%, after GST it will become 28%. But I doubt the cos will pass on the benefit to customers, but if some do most will follow)
 
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