New GST on Wifi Services in India: Applicable Rates and Billing Details

In today’s digital world, wifi services are no longer a luxury—they’re a necessity. From home plans to business broadband, every internet bill includes GST, but not everyone knows how much they’re paying. This blog breaks down the gst on wifi services, including data plans, routers, dongles, and everything you need to know as a consumer or ISP.

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New GST Rate on Wi-Fi & Internet Services in India

The Government of India is updating GST rates effective after 22 Sep 2025. Below are the expected new GST rates for internet access services and related devices (no compensation cess).

New GST on Wi-Fi Plans: Internet Services

Whether you’re using fiber broadband, a home Wi-Fi connection, or a business leased line, all come under the GST regime.

Service Type SAC Code New GST Rate
Wi-Fi / broadband plans 9984 18%
Mobile data recharge (postpaid/prepaid) 9984 18%
Business leased lines 9984 18%

How Much New GST on Wi-Fi Plans?

Plan Cost GST @ 18% Total Payable
₹1,000 ₹180 ₹1,180

Whether billed by JioFiber, Airtel, ACT, BSNL, or any ISP, GST at 18% is uniformly charged.

New GST on Wi-Fi Routers and Dongles

Device Type HSN Code New GST Rate
Wi-Fi router (wired/wireless) 8517 18%
Wi-Fi dongle (USB device) 8517 18%
Modem-router combo 8517 18%

Old GST on Wifi Plans: Internet Services

(Old GST Rates – Applicable Until 21st September)

Whether you’re using fiber broadband, a home wifi connection, or a business internet lease line, all come under the GST regime.

Service Type SAC Code GST Rate
Wi-Fi / broadband plans 9984 18%
Mobile data recharge (postpaid/prepaid) 9984 18%
Business leased lines 9984 18%

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How Much GST on Wifi Plans?

Plan Cost GST @ 18% Total Payable
₹1,000 ₹180 ₹1,180

Whether billed by JioFiber, Airtel, ACT, BSNL, or any ISP, GST at 18% is uniformly charged.

Old GST on Wifi Routers and Dongles

Device Type HSN Code GST Rate
Wi-Fi router (wired/wireless) 8517 18%
Wi-Fi dongle (USB device) 8517 18%
Modem-router combo 8517 18%

Who Needs to Pay GST on Wifi Services?

  • ✅ Home wifi users (via ISPs)
  • ✅ Small offices and startups
  • ✅ Businesses with commercial broadband
  • ✅ Co-working spaces
  • ✅ Schools, cafes, and institutions

While home users cannot claim  Input Tax Credit (ITC) , businesses can claim ITC on GST paid for internet services used for work.

Input Tax Credit for Businesses

If you’re using internet or wifi services for commercial use:

This is especially beneficial for:

  • IT companies
  • E-commerce operations
  • Marketing agencies
  • Freelancers working under a  GST-registered  entity

Whether you’re setting up home internet or running a business, knowing the gst on wifi services helps you budget better and ensures tax compliance. From your monthly plan to the router you buy, the 18% GST slab is uniformly applied across the board.

Madan Murari
Madan Murari
Chartered Accountant
MRN No.: 509164
City: Patna

Hi there! I’m a Chartered Accountant with over 20 years of experience in financial accounting and a passion for writing. I enjoy simplifying complex topics like GST and income tax, believing that learning should be a lifelong journey. I'm here to share insights and make financial matters easier for everyone!

Frequently Asked Questions

  • What is the GST on WiFi services in India?
    GST is 18% on all WiFi and broadband services, whether home or commercial.
  • How much GST on WiFi plans monthly?
    For a ₹1,000 plan, you'll pay ₹180 as GST, totaling ₹1,180.
  • Is GST applicable on WiFi routers and dongles?
    Yes, both routers and WiFi dongles are taxed at 18% under HSN 8517.
  • Can I claim ITC on WiFi service used in office?
    Yes. Businesses and registered professionals can claim Input Tax Credit on broadband used for work.
  • Is GST same for prepaid WiFi data recharge?
    Yes. Whether postpaid or prepaid, internet and data plans attract 18% GST.
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