I&B Ministry
MIB pushes for GST exemption on digital news subscriptions
Mumbai: The Ministry of Information and Broadcasting (MIB) has urged the Department of Revenue to either exempt digital news subscriptions from the Goods and Services Tax (GST) or reduce the tax rate from 18 per cent to 5 per cent, as per media reports. In a letter addressed to Revenue Secretary Sanjay Malhotra, Information and Broadcasting Secretary Sanjay Jaju emphasised that newspapers are exempt from GST due to the importance of providing “correct and factual information” to Indian citizens.
A note attached to the letter warned that the current higher tax burden could hinder the growth of the online news sector, potentially pushing it towards an advertising-based model, which could negatively impact the quality and credibility of news content.
“With the growing internet penetration in India and the nascent stage of the online news industry, it is requested that the disparity between GST on printed newspapers and digital/online news subscriptions be addressed by either exempting the GST on the latter or reducing it from 18% to 5%, aligning it with the rate on e-books,” the letter stated.
Digital publishers have been advocating for this change even before finance minister Nirmala Sitharaman presented the budget for the fiscal year 2024-25 on 23 July. MIB referred to a 29 September 2023, office memorandum that recommended exempting online news subscriptions from GST to create parity with printed newspapers. However, the revenue department’s office memo dated 5 June 2024, noted that the GST Council had discussed this proposal during its meeting on 11 July 2023, but did not endorse it.
The MIB also cited a similar issue resolved in 2018 when the GST Council reduced the GST rate on e-books from 18 per cent to five per cent through a notification dated 26 July 2018. The 54th GST Council meeting is scheduled for 9 September, following the last meeting held on 22 June.
In the attached background note, the MIB highlighted that very few internet users in India pay for online news. A higher GST rate on digital news subscriptions could push the online news sector toward an advertising model, potentially affecting the quality and credibility of content through practices such as clickbait, sensational headlines, and fake or misleading news.
The MIB also pointed out that the 18 per cent GST on online news subscriptions generates approximately Rs 21.6 crore in revenue from a total revenue of Rs 120 crore. The MIB argued that reducing the GST to either nil or 5 per cent “may not lead to substantial revenue forgone by the government exchequer.” Online news subscriptions fall under the category of services for the “supply of images, text, and information and making available of databases.” The MIB stressed that providing “credible and factual information in the nature of news” is distinct from other online content services, as it “empowers citizens to make informed decisions and be aware of their rights and responsibilities.”
Currently, printed newspapers, journals, and periodicals are exempt from GST. Under the IGST Act, online news subscriptions are taxed at 18 per cent as Online Information Database Access and Retrieval (OIDAR) services, which are internet services lacking a physical interface between the supplier and the recipient.
I&B Ministry
Digital radio, D2M tech set to reshape broadcasting and public messaging
Govt pushes next-gen delivery while TRAI tightens grip on spam ecosystem
NEW DELHI: India’s broadcasting and telecom landscape is undergoing a quiet but significant upgrade, with digital radio and Direct-to-Mobile (D2M) technologies emerging as powerful tools for mass communication, while regulators step up efforts to tackle spam calls.
According to the Ministry of Information and Broadcasting, digital radio and D2M are poised to transform how content reaches audiences by making more efficient use of spectrum. In simple terms, multiple channels can now be delivered over a single frequency, opening the door to a wider range of free-to-air content.
D2M technology takes this a step further by enabling video, audio and data to be broadcast directly to mobile handsets without relying on SIM cards or mobile data. The result is a resilient and cost-effective data pipe that can deliver everything from entertainment and education to critical emergency alerts, even in low-connectivity scenarios.
At the same time, the Telecom Regulatory Authority of India is tightening its grip on unsolicited commercial communication, better known as spam calls. The regulator has deployed a distributed ledger technology platform to bring transparency and accountability into the system.
Through this blockchain-based setup, consumers can register their preferences on receiving promotional messages, while businesses and telemarketers must also sign up and operate within defined rules. The platform also includes a complaint mechanism that allows users to report spam, with complaints shared across telecom operators for coordinated action.
The government’s broader push is being supported by infrastructure upgrades under the Broadcasting Infrastructure and Network Development scheme. Implemented through Prasar Bharati, the initiative focuses on modernising networks such as Akashvani and Doordarshan, including digitisation and adoption of next-generation broadcast equipment.
In a written reply in the Lok Sabha, Ministry of Information and Broadcasting minister of state for information and broadcasting L. Murugan said these steps are part of a larger effort to promote emerging technologies and strengthen the country’s broadcasting backbone. The response came to a query raised by member of Parliament Rao Rajendra Singh.
Together, these developments point to a dual-track strategy: expanding access to reliable, low-cost content while cleaning up the communication ecosystem. As digital pipes get smarter and spam filters sharper, India’s airwaves may soon feel a lot less noisy and far more useful.
