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Reductions in Tax leave the Telecom Operators Joyous
Oct 31, 2006
Telecom companies in India have finally a reason to be happy. The representatives of industry and government, who were examining the tax structure of telecom sector for 11th Five-Year Plan 2007-2012, recommended a plenty of tax reductions for the segment.
Tax cuts include service tax reduction from 12% to 8% and a license fee reduction to a constant 6% from present 6-10%. The members also gave proposal of complete abdication of custom duty on equipment of microwave. The excise levy on regionally manufactured equipment of telecom is to be graded to the minimum value of 8%.
The recent report by RNCOS, "Indian Telecom Sector Analysis (2006-2007)",compared the Indian telecom sector with that of Asia and concluded that Indian telecom operators pay additional 17-26% (apart from sales tax). On the other hand, total duties on other Asian operators are less than five percent. It has also been pointed that the telecom sector is facing infrastructure problems as the policies and guidelines concerning to right of permission & way and installation of cell cite vary from one state to other.
The research report also addresses issues and facts critical to future success:
- Emerging trends in the Indian Telecom sector
- Future Outlook of the Indian Telecom market
- Key players in the Indian Telecom Market
- Prospect exist for the Telecom market
- Challenges faced by the industry
- Effect of other economic factors on market
- Emerging technologies in the Telecom Sector
About the Report:
The report provides extensive research and rational analysis of the Indian Telecommunication Sector. This report has been written to help clients in analyzing the opportunities critical to the growth of Indian Telecom market.
To purchase your copy: http://www.rncos.com/Report/IM073.htm
To purchase your copy: http://www.rncos.com/Report/IM073.htm
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