Cut prices, pass GST benefits to customers, government tells telecom companies

The finance ministry today asked telecom companies to rejig costs and lower prices to pass on the benefits of tax rate reduction under GST to customers from July. Under the Goods and Services Tax regime, which will come into being from July 1, telecom services will attract an 18 per cent levy. Service providers can claim input tax credit (ITC) which will bring down the effective incidence of the l…