Dish TV, the direct-to-home (DTH) operator, has revealed that the demonetisation process by the government has not really affected the business of the company. This is all due to its electronic payment system.
Through its transaction, Dish TV has seen more than 6.5 million transactions through its e-payment until 23 November. For the revealed number of transactions, a service tax (ST) component of 260million INR (3.8 million USD). It is to be noted that the ST is not included with the state entertainment tax and the license fee levied by the Ministry of Information and Broadcasting on DTH operators. The collection cost of ST is of 4%.
As per DStv, “demonetisation, timely implementation of digitisation and the rollout of GST are expected to bring in transparency and ensure a level playing field”.
According to estimates by the industry, a turnover worth 250 billion INR (3.7 billion USD) are not included in tax compliance in the cable TV industry. This results in the loss of 80 billion of both direct and indirect taxes to the national exchequer annually.