India Satellite Internet Tax: TRAI recommends that the government charge Companies launching satellite internet services in India may be charged an additional 4% fee. On Friday, the Telecom Regulatory Authority of India (TRAI) recommended that the government increase the tax on spectrum prices.
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India Satellite Internet Tax: TRAI’s Recommendations to the Govt.
According to this, companies like Elon Musk’s Starlink will have to pay 4% tax on their annual revenue to the government. Also, an additional charge of ₹500 per year will be levied on every customer in urban areas. There will be no fee for the rural areas spectrum distribution allotment time.
TRAI has fixed the period of spectrum distribution as 5 years, which can be extended by 2 more years. Along with this, the spectrum fee has been kept at a minimum of ₹3,500 per MHz per year. Based on the recommendations of TRAI, the Department of Telecom will prepare a proposal and send it to the Cabinet.
India Satellite Internet Tax: Jio, Airtel Partner with Starlink
To provide satellite internet service in India, the country’s two major telecom companies, Jio and Airtel, have signed an agreement with Elon Musk’s company Starlink. Under this agreement, Spacex and Airtel will work together to provide Starlink services to businesses, educational institutions, healthcare centres and remote areas. Possibilities of integrating Starlink technology into Airtel’s existing network infrastructure will be explored.
FAQ on India Satellite Internet Tax
Q. How is Starlink different?
A. Companies like Jio and Airtel provide internet through fibre optics and mobile towers. Starlink is based on a satellite network. It works through small satellites, ground stations and user terminals. It does not require physical infrastructure.
Q. What will be the benefit to India from Starlink?
A. The biggest advantage of Starlink is that it can provide internet service in areas where traditional broadband providers cannot provide their service. This includes rural areas, remote locations, and even areas affected by natural disasters.
Q. What will be the future in India?
A. The satellite communication market in the country is growing rapidly. According to a report by KPMG in 2024, this market can reach Rs 1.7 lakh crore by the year 2028.
Jay Chavda He is the Founder and Writer of businesspulsecare.com. He is an I.T Engineer, Freelancer, Businessman. He posts Business, Stock/Share Market, Finance Related News and updates on the website. 🔗