Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: TDS :: cpt :: Central Excise rule to resale the machines to a new company :: list of goods taxed at 4% :: due date for vat payment :: form 3cd :: ACCOUNTING STANDARDS :: VAT Audit :: TAX RATES - GOODS TAXABLE @ 4% :: VAT RATES :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: articles on VAT and GST in India :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARD :: empanelment
 
 
« News Headlines »
 Securities excluded from GST ambit in revised Bill
 GST dilemma: Hope fades for new tax regime
 5nance.com launches tax investment platform
 Is government tapping your phone?
 Income tax department to use analytics to look for discrepancies in bank accounts
 GST Council fails to break deadlock over indirect tax regime, next meet on Dec 11 and 12 to hammer out differences
 Invoking Writ Jurisdiction For Income Tax Matters
 How to file income-tax returns online
 How Income Tax Returns Are Scrutinised
 All About New Income Disclosure Scheme to make Demonetisation successful
 Your deposit may draw income tax notice

ISPs demand tax exemptions for broadband
December, 11th 2006

Citing the countrys poor broadband penetration, Indian internet service providers (ISPs) have asked the government to exempt broadband services from levy of service tax for the next five years.

It has also made a pitch for a five-year income-tax holiday. India, with a poor penetration (0.16%) of broadband, should not levy 12.24% service tax (including education cess), the ISPs have told the government.

According to Telecom Regulatory Authority of Indias (Trai) figures, India currently has just under 2 million broadband connections. The country has also failed to meet the targets set by the Broadband Policy, which had envisaged 3 million high-speed internet connections by 2005.

The country is also unlikely to miss future target of 10 million broadband connections by 2007. The Internet Service Providers Association of India (ISPAI) has also sought a 100% depreciation for computers within the first year, and a similar depreciation on broadband customer premise equipment (CPE), including set-top boxes, modems, wireless Radios and routers within the first year.

Also the amount incurred for buying computer or laptop by employee (government or private) should be exempted from the income-tax on production of valid bill.

Further, all corporations, whether public or private, should be allowed to give Rs 6,000 per annum allowance to employees for broadband services access at home, they said, adding that this allowance should be removed from taxable income for the corporation. The same facility, ISPAI said, should be extended to self-employed professionals and individuals.

The association has also asked for tax holidays for organisations or even individuals who donate their PCs and other related equipment to institutions and schools, charitable organisations and local bodies while asking for a 100% exemption from Custom duty on goods imported by ISPs for providing broadband access.

The government should also recommend to all states to waive sales tax on goods and services that are transacted through electronic mode (e-commerce) for the next five years. The state governments should follow these recommendations with legislation to ensure proper execution.

Similar legislation should also go from the Centre to the state governments for waiver of entertainment tax, currently about 30% in certain states, levied on broadband subscriptions and entertainment services, if they are provided through a broadband or internet platform, ISPAI said.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Portfolio

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions