---
title: "New GST on Postpaid Mobile Bill 2026: 18% Rate on Mobile Bills"
description: "New GST rate on postpaid mobile bills in 2026 is 18% on monthly plan and usage charges. Simplify GST billing with Busy and apply the right rate every time."
canonical: "https://busy.in/gst-rates/postpaid-mobile-bill/"
author: "Nishant"
published: "2025-05-19T12:17:05.000Z"
category: "GST Rates"
---

-   The **gst on postpaid plans** is **18%** in India, and the rate remains unchanged under the current GST structure.
-   Prepaid mobile recharges, data packs, SMS packs, and taxable telecom services generally attract **18% GST**.
-   Telecommunication services under Heading 9984 generally attract **18% GST**.
-   Businesses can claim eligible Input Tax Credit (ITC) on mobile bills used for business purposes, subject to GST conditions.
-   Late fees or penalties charged for delayed payment of telecom bills are included in the taxable value and attract applicable GST.

# New 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 mobile recharge**, helping you understand what you’re paying for.

## **GST on Mobile Bills in India**

The **gst on mobile recharge** is also **18%**, along with postpaid bills, data packs, SMS packs, and other taxable telecom services.

These services fall under Heading 9984 - Telecommunications, broadcasting and information supply services, and the standard GST rate remains 18%.

## **Is GST Applicable on Postpaid Mobile Bills?**

Yes. The **gst on postpaid bill** is **18%** on the taxable value of the telecom service.

## **New GST Rate on Mobile Bill in India**

For mobile telecom services, the practical position is that the GST rate remains 18% both before and after 22 Sep 2025. So this category is better presented as a current GST rate guide rather than as a major rate-change announcement.

## GST Rate Table for Mobile and Telecom Services

The **mobile recharge gst rate** is **18%**, and the same rate generally applies to postpaid bills, mobile data, SMS packs, roaming, and other taxable telecom services.

| Service | New GST Rate (After 22 Sep 2025) | Old GST Rate (Before 22 Sep 2025) |
| --- | --- | --- |
| Postpaid mobile bill | 18% | 18% |
| Prepaid recharge | 18% | 18% |
| International roaming | 18% | 18% |
| Mobile data and SMS packs | 18% | 18% |
| Value added telecom services | 18% | 18% |

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## **GST Tax on Mobile Bill: What’s Usually Included?**

GST on a mobile bill generally applies to the telecom service portion, such as:

-   monthly rental or plan charges
-   voice call charges
-   SMS charges
-   data usage charges
-   value added services
-   national and international roaming
-   late payment surcharge or fee, where it is charged as part of the telecom billing for delayed payment

A separately billed handset purchase or EMI is not itself the telecom service merely because it appears on the same bill.

## **Can You Claim Input Tax Credit (ITC)?**

Yes, if you’re a GST-registered business or freelancer using mobile service for business communication. Here are some points to [**claim Input Tax Credit**](https://busy.in/gst/what-expenses-can-be-claimed-as-itc/) .

-   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.

## **How to Calculate GST on Mobile Phones Bills**

For telecom services, the postpaid gst rate is generally **18**%, and the same rate applies to other taxable mobile telecom services.

### The formula when the price is before GST

GST Amount = Taxable Value × 18%
Final Bill Amount = Taxable Value + GST Amount

### **Example 1: Postpaid mobile bill**

Suppose your telecom service value for the month is Rs 1,000.

**GST = 1,000 × 18% = Rs 180**
**Final Bill Amount = Rs 1,180**

### **Example 2: Prepaid recharge**

Suppose you do a recharge with a taxable value of Rs 500.

**GST = 500 × 18% = Rs 90**
**Final Amount = Rs 590**

### **Formula when price is inclusive of GST**

If the billed amount already includes GST:

**Taxable Value = GST Inclusive Amount ÷ 1.18**
**GST Amount = GST Inclusive Amount - Taxable Value**

### **Example 3: GST inclusive mobile bill**

Suppose your total billed amount is Rs 1,180, inclusive of GST.

**Taxable Value = 1,180 ÷ 1.18 = Rs 1,000**
**GST Amount = 1,180 - 1,000 = Rs 180**

For intra-state supplies, 18% GST is usually split into 9% CGST + 9% SGST. For inter-state supplies, it is usually charged as 18% IGST.

## About the author

**Nishant**

I am a Chartered Accountant with more than five years of experience in the accounting field. My areas of expertise include GST, income tax, and audits. I am passionate about sharing knowledge through blogs and articles, as I believe that learning is a lifelong journey. My goal is to provide valuable insights and simplify financial matters for individuals and business owners alike.

## Frequently asked questions

### What is the GST on postpaid mobile bill in India?

It is 18% GST on the taxable value of telecom services in the postpaid mobile bill.

### Is GST the same for prepaid and postpaid?

Yes. Both prepaid and postpaid mobile services generally attract 18% GST.

### Can I claim GST paid on mobile bill as a business expense?

Generally, yes. A registered person can usually claim input tax credit on inward supplies used in the course or furtherance of business, subject to the normal GST conditions and restrictions.

### Does GST apply to international roaming?

Yes. International roaming, when billed as part of the telecom service, generally attracts 18% GST.

### Is GST applied to late payment fees in mobile bills?

Generally, yes, where the late payment surcharge or fee is charged as part of the telecom billing for delayed payment.

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