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: articles on VAT and GST in India :: TDS :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARDS :: VAT RATES :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARD :: due date for vat payment :: empanelment :: cpt :: form 3cd :: VAT Audit :: TAX RATES - GOODS TAXABLE @ 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: list of goods taxed at 4%
 
 
« News Headlines »
 8 benefits you must know about this tax-saving mutual fund
 10 most important income-tax changes which will apply from April 1
 Delhi: 54 CAs, company secretaries on radar in I-T crackdown against black money
 10 Income Tax Rules That Will Change From April. See Details Herea
 Looking for last-minute tax planning with Section 80C investments? Here's help
 Aadhaar mandatory for filing income tax return
 Will Aadhaar linkage solve India's income tax woes?
 GST roll out from July 1 will make goods cheaper: Jaitley
 Aadhaar To Be Mandatory For Filing Income Tax Return, PAN Application
 7 best tax-saving solutions which can help you save money
  No proposal to replace Income Tax with Banking Cash Transaction Tax

Global Net telephony service providers face tax query
September, 26th 2007
After Vodafone Essar, the tax authorities have now put global Internet-based long distance telephone service providers under the scanner to determine whether these companies are required to pay service tax in India.

The Directorate-General of Central Excise Intelligence has asked local Internet Service Providers to provide details including address, revenues, and bulk users of all such net telephony service providers in the country.

The Internet Service Providers Association of India had earlier approached the Department of Telecom pointing out that these companies were violating licence norms.

Prior to January 2006, all ISPs were offering Internet telephony at no cost but then the Government asked them to pay a fee to offer the service even as messenger-based telephony services such as Skype offer voice calls without any licence from India. Internet telephony services can be offered in India either by an ISP specifically permitted to do so or by a unified access service licensee. However, several service providers such as Skype, Net2Phone, Yahoo, and MSN, are providing Internet telephony services to people in India.

Most of these foreign service providers offer termination in Indian fixed-line telephones as well without paying any fee or tax to the Government on the revenues that they make from Indian consumers, said Mr Rajesh Chharia, President, ISPAI.

On the other hand, Net telephony service providers have maintained that they were not liable to pay any charges to the Indian authorities since they were operating from other countries where they are paying necessary taxes as per local laws.

`Loss to govt'

While DoT has not taken any action so far on this issue, the move from the tax authorities is being seen by the ISPs as a step in the right direction. "Such service offering is resulting in loss of revenue to the Government by way of licence fee, access deficit charges, as well as by way of service tax. We will provide all the details that have been sought from us," said Mr Chharia.

Senior DoT officials said that one way to discourage global net telephony players was to get Indian operators to start offering voice over Internet Protocol service.

None of the large telecom players have launched domestic net telephony despite this being allowed as part of their licence. On the other hand, Government has put stiff limitations on ISPs who want to offer Net telephony.
 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Content Management System development CMS development Content Management Solutions CMS Solutions Content Management Services CMS Services CMS Software

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