Govt well aware of implications if telecom industry is left without relief: COAI

New Delhi: Industry physique COAI on Friday mentioned the federal government is effectively conscious of implications of leaving the pressured telecom sector with no reduction package deal, because it urged policymakers to make use of “tools” accessible to seek out applicable options expeditiously.

“The industry is in urgent need of relief measures, and we urge the government to come up with appropriate solutions expeditiously and resolve the matter,” Cellular Operators’ Association of India (COAI) Director General Rajan Mathews mentioned.

On Wednesday, the apex courtroom rejected the telcos’ self-assessed adjusted gross income (AGR) dues and ordered them to pay the principal along with curiosity and penalties.

It said that non-payment of dues would tantamount to contempt of courtroom.

“The government can exercise the tools that are available and move forward on that basis,” Mathews mentioned.

Telecom corporations comparable to Bharti Airtel, Vodafone Idea and Tata are in a bind as their mixed self-assessment of dues to the federal government are a whopping Rs 82,300 crore in need of what the telecom division calculated after the Supreme Court’s ruling on AGR.

The apex courtroom has lashed out on the telcos for attempting to reopen the dues they owed to the federal government by way of the self-assessment train.

A bench of Justices Arun Mishra, S A Nazeer and M R Shah refused to take up the Centre’s plea for permitting telecom corporations to pay AGR dues in 20 years, saying the applying will likely be taken up after two weeks.

“The timeframe of 20 years is unreasonable. The telecom companies have to clear all dues mentioned in the judgment,” the bench mentioned including that it had settled all AGR dues after listening to telecom corporations and the federal government then had fought tooth and nail for pursuits and penalties.

The Department of Telecommunications (DoT), in keeping with its personal submission to the apex courtroom lately in search of reduction in cost tenure, has put dues of the three corporations — Bharti Airtel, Vodafone Idea and Tata Group — at Rs 1.19 lakh crore.

The dues estimated by DoT for Bharti Airtel and Telnor stood at Rs 43,980 crore, whereas that of Vodafone Idea was Rs 58,254 crore, and Tata Group of corporations at Rs 16,798 crore outlined below “total demand of DoT incorporating CAG and special audit as on October 2019”.

Against this, Bharti group has calculated its dues at Rs 13,004 crore, Vodafone Idea at Rs 21,533 crore and Tata group of corporations at Rs 2,197 crore.

In all, AGR dues calculated by the federal government for 16 entities add as much as Rs 1.69 lakh crore, whereas telcos’ self-assessment locations their dues at a mere Rs 37,176 crore.

These dues arose after the Supreme Court, in October final yr, upheld the federal government’s place on together with income from non-core companies in calculating the annual AGR of telecom corporations, a share of which is paid as licence and spectrum price to the exchequer.



Source link

Leave a Comment

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.