The telecom disputes tribunal on Friday dismissed the government's plans to charge internet service providers or ISPs a fee of 8% of their annual revenue from April, 2013. The tribunal upheld an Internet Services Providers Association of India (Ispai) petition challenging the government's bid to tax internet and broadband services.
Last July, the industry body representing ISPs had appealed to the Telecom Disputes Settlement & Appellate Tribunal (TDSAT) for quashing the government's move, claiming it would force a change in the licence agreement without mutual consent.
"Presumably, the government was required to consider all aspects of the matter, including the question of whether the petitioners, with regard to pure internet services vis-a-vis services rendered by UAS licencees have a level playing field. If they do not, appropriate measure may have to be taken but the petitioners could not be asked to provisionally pay based on their annual gross revenue (AGR), where the final decsion is to be taken at a later stage," the tribunal said in its verdict.
Read More . . . .