Live
- Uddhav Thackeray to PM Modi: Pay attention to Bangladesh, act to end Hindus’ misery
- Allu Arjun Arrested: KTR Reacts on X, Calls Arrest Unfair
- Bold steps by Modi govt in reviving Indian heritage, culture: Union Minister
- What are the charges against Allu Arjun: Understanding the Charges Against Him
- Allu Arjun Objects to Arrest Procedure, Requests Breakfast and Change of Clothes
- ‘Fear’ movie review: A gripping suspense thriller
- Phenom Successfully Hosts IAMPHENOM India, Transforming the Future of Work with AI, Automation, and Talent Experience
- Constitution provides shied, guarantee to Indians: Priyanka in LS
- Allu Arjun’s Quash Petition Hearing at 2:30 PM; Chiranjeevi Visits Police Station
- Bommai hails 'One Nation, One Election' move as PM Modi’s bold decision
VAT on cell phones likely to be cut to 5 per cent in TS
Highlights
The Telangana government is exploring the option of reducing VAT (Value Added Tax) on cell-phones from the existing 14.5 percent to 5 percent. The Cabinet sub-committee formed on studying the existing taxes in the state is learnt to have recommended this change to the government.
.jpg)
Hyderabad: The Telangana government is exploring the option of reducing VAT (Value Added Tax) on cell-phones from the existing 14.5 percent to 5 percent. The Cabinet sub-committee formed on studying the existing taxes in the state is learnt to have recommended this change to the government.
According to senior officials of the Commercial Taxes department, this move was aimed at checking tax evasion by traders in grey market.
Since, neighboring states were levying tax of 5 percent on cell phones, traders were found to smuggle them here and sell them without proper receipts. This was denting public exchequer in a big way, they said.
It may be mentioned here that sale and usage of cell phones is comparatively high in Telangana compared to other states and any reduction in VAT is likely to bring in more revenues to the state. Not only people from upper and middle classes, even people from low income groups besides skilled and unskilled labour have made mobiles part and parcel of their lives.
Although the number of cell phone users are on the rise every year, no big cash flows into public exchequer was observed.However, once VAT is made on par with neighbouring states, sellers will drop the idea to smuggle them because of the logistics and other issues, authorities opined.
According to sources, the proposal is being examined by them and soon the minister for commercial taxes Talsani Srinivas Yadav would submit a report to Chief Minister K Chandrashekar Rao. A final decision would be taken soon after a thorough discussion with the finance department.
Next Story
ADVERTISEMENT
