GST on Postpaid Mobile Bill: Know the Tax Percentage on Your Plan

If you’re using a postpaid mobile connection, you’ve probably noticed a separate tax amount added to your monthly bill. That’s GST (Goods and Services Tax). But how much is it? What does it apply to? And can it be claimed as a business expense? This blog breaks down the gst on postpaid mobile bill, helping you understand what you’re paying for.

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    Is GST Applicable on Postpaid Mobile Bills?

    Yes. All mobile telecom services—including postpaid connections, prepaid recharges, internet packs, and international roaming—are taxable under Goods and Services Tax (GST). These services fall under SAC Code 9984 (Telecommunication, broadcasting, and information supply services).

    GST Rate on Mobile Bill in India

    Service GST Rate
    Postpaid mobile bill 18%
    Prepaid recharge 18%
    International roaming 18%
    Mobile data and SMS packs 18%

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    Sample Calculation: GST on a ₹999 Postpaid Plan

    Base Plan: ₹999
    GST @ 18%: ₹179.82
    Total Bill: ₹1,178.82

    GST Tax on Mobile Bill: What’s Included?

    • Monthly rental/plan charges
    • Call and SMS services
    • Data usage
    • Value-added services (VAS)
    • National and international roaming
    • Overdue bill charges (in some cases)

    It does not apply to handset EMI payments or non-telecom charges (if billed separately).

    Can You Claim Input Tax Credit (ITC)?

    Yes, if you’re a GST-registered business or freelancer using mobile service for business communication.

    To claim Input Tax Credit:

    • Ensure your mobile provider issues GST-compliant invoices
    • The SIM card or account should be in your business name
    • Mobile service must be used for business-related activities

    Whether you’re an individual or a business user, understanding the gst on postpaid mobile bill helps you track your expenses better and stay tax-compliant.

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