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Cable TV industry seeks government help in reducing tax on CATV, broadband

13-February-2001
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Cable TV industry seeks government help in reducing tax on CATV, broadband

The cable TV industry has requested the Maharashtra finance minister to put it on par with the IT sector by lowering tax rates for CATV and broadband. It has asked for a reduction in sales tax to four per cent for all electronic and coaxial cables which offer the final link to computer networks, hubs and broadband-related equipment, similar to what is being charged for IT products.

CATV and broadband is currently taxed at a total of 15.3 per cent in addition to a 4.3 per cent octroi against just four per cent for other Information Technology related products.

The sales tax structure has forced several units in the highly competitive cable TV industry to either shut down completely or shift operations to lower tax locations such as Gujarat, Andhra Pradesh and New Delhi.

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