Preparation to give relief to telecom companies in budget before 5G, hope to cut license fees
In the General Budget 2021-22, large deals can be announced by the central government for the telecom sector. According to information received from sources in Hindustan, not only can the government give tax-related concessions to businessmen, but also for new investment and employment-generating sectors, relief announcements are possible.
Traders expect the government to reduce license fees from 8 per cent to between 5-6 per cent. At the same time, the telecom companies have demanded from the government that the usage charges be reduced and the GST imposed on them should also be cut. Businessmen want to be given input tax credit in lieu of GST levied on them.
Industry chamber Ficci has also demanded from the government that telecom should be given concession like other sectors on new investment and capacity expansion. According to the assessment, tax of 58 thousand crore rupees in the government exchequer goes only through telecom. Businesses want a large part of this to be given to companies in the form of input tax credit or tax rebate to improve services as well as increase employment.
Big focus on 5G Over the
next few years, there will be a big focus on 5G in the country. In such a situation, it is possible to announce a new policy related to infrastructure, research and development on technology as well as design. The government may also announce special incentives in the direction of making equipment related to 5G, which will not only support the self-sufficient India mission but will also increase exports.
