It’s going to be tough for the cable viewers as cable operators plan to pass on the burden of service tax to the consumer. Another fall out of this would be under reporting of the number of households connected.
The service tax will also impact operations of the small operators, especially in the smaller towns and rural areas.
The Finance Minister, Mr Yashwant Sinha's announcement to reduce customs duty on certain earth-station equipment is expected to make uplinking from India an attractive proposition.
The Finance Minister also increased the budgetary support by 22 per cent to Rs 415 crore for the Information and Broadcasting Ministry.