BUSY is a simple, yet powerful GST / VAT compliant Business Accounting Software that has everything you need to grow your business.
Broadband internet is no longer a luxury—it’s a necessity for homes, schools, offices, and businesses. But have you ever checked the tax charged on your monthly broadband bill? Let’s explore the gst rate for broadband, how it applies to home and commercial use, and how service providers manage compliance.
Broadband services fall under telecommunication and internet-related services as per GST law. These include:
All of these fall under SAC Code 9984 and are taxable under GST.
| Type of Service | SAC Code | GST Rate |
|---|---|---|
| Wired broadband (fiber/cable) | 998414 | 18% |
| Wireless broadband (mobile data) | 998414 | 18% |
| Leased line / commercial internet | 998414 | 18% |
| Public Wi-Fi / hotspot services | 998414 | 18% |
There is no difference in the broadband connection gst rate for residential or commercial users. However, business users can claim Input Tax Credit (ITC), while home users cannot.
| User Type | GST Rate | ITC Eligibility |
|---|---|---|
| Residential/Home | 18% | No |
| Business/Commercial | 18% | Yes |
If you’re a customer, here’s what you’ll typically see on your monthly bill:
The gst on broadband internet applies to the total value of service, including any equipment rental or installation fees.
You can also claim ITC on routers, modems, marketing expenses, and support services.
Understanding the gst rate for broadband helps customers know what they’re paying and allows service providers to stay compliant. Whether you’re browsing at home or running an online business, 18% GST is uniformly applied to all broadband services.
BUSY is a simple, yet powerful GST / VAT compliant Business Accounting Software that has everything you need to grow your business.