---
title: "New GST on Wi-Fi Services 2026: 18% Rate on Wi-Fi, Internet"
description: "New GST rate on Wi-Fi services in 2026 is 18% on wireless internet, hotspot and Wi-Fi plans. Busy helps you apply the right GST rate on every invoice."
canonical: "https://busy.in/gst-rates/wi-fi/"
author: "Madan Murari"
published: "2025-05-19T12:12:48.000Z"
category: "GST Rates"
---

-   All WiFi and broadband services in India, including home and business plans, are taxed at 18% GST.
-   The GST applies to internet services, routers, dongles, and modem-router combos, all under HSN Code 8517.
-   For a WiFi plan costing ₹1,000, the GST is ₹180, making the total payable ₹1,180.
-   Businesses can claim Input Tax Credit (ITC) on GST paid for internet services used for work.
-   GST is uniformly applied to both prepaid and postpaid mobile data recharge plans at 18%.

# 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.

## 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% |

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## 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% |

**Get a Free Demo of –**  [**Electronics Goods Billing Software**](https://busy.in/accounting-software/electronics-goods/)

## 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)](https://busy.in/gst/input-tax-credit/) , 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:

-   Claim ITC on your monthly wifi bills
-   Ensure your vendor/ISP issues a  [GST-compliant invoice](https://busy.in/gst/a-guide-to-invoicing-under-gst/)
-   Use the GST in  [GSTR-3B](https://busy.in/gst/a-guide-to-gstr-3b-what-is-gstr-3b/)  return

This is especially beneficial for:

-   IT companies
-   E-commerce operations
-   Marketing agencies
-   Freelancers working under a  [GST-registered](https://busy.in/gst/how-to-register-for-gst-in-india-a-step-by-step-guide/)  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.

## About the author

**Madan Murari**

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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