AIDCF Seeks GST Rate Cut to Support Cable TV Industry

New Delhi, Aug 27 (KNN) The All India Digital Cable Federation (AIDCF), representing India’s digital Multi-System Operators (MSOs), has urged the government to reduce the Goods and Services Tax (GST) on cable TV services from 18 percent to 5 percent.

The appeal is in line with Prime Minister Narendra Modi’s vision of “next-generation” GST reforms aimed at simplifying the tax structure, rationalising rates, and easing the tax burden on citizens.

In a letter to the Finance Ministry and the Ministry of Information & Broadcasting, AIDCF requested that the issue be taken up in the upcoming GST Council meeting.

The federation highlighted that cable TV remains a vital medium, reaching more than 64 million households and supporting 1–1.2 million livelihoods across India.

It continues to provide affordable information, education, and entertainment, especially in underserved urban and rural areas.

Despite its wide reach, the cable industry faces financial stress due to rising channel costs, shrinking margins, and intense competition from digital platforms that operate outside conventional fiscal and regulatory frameworks.

According to AIDCF, lowering GST to 5 percent would not only make cable TV more affordable for consumers but also improve working capital for MSOs and Local Cable Operators (LCOs), many of which are small and medium enterprises.

This, in turn, would allow greater investment in broadband infrastructure, advancing the government’s Digital India mission.

The federation also argued that reducing GST would create a level playing field with online platforms, many of which enjoy tax and regulatory exemptions.

Manoj P. Chhangani, AIDCF’s Secretary General, stressed that cable TV holds cultural and social significance, particularly in smaller towns, and that rationalised tax rates would help protect livelihoods and ensure accessibility for millions.

AIDCF expressed confidence that the government would consider this request positively under its reform agenda, safeguarding the sustainability of the cable TV sector.

(KNN Bureau)