Trai issues recommendations on licence fee and policy matters of DTH services
₹5 crore for the first two quarters, and thereafter, for an amount equivalent to LF for two quarters and other dues not otherwise securitized. The recommendations state that Gross Revenue (GR) shall comprise revenue accruing to the licensed entity by way of all operations or activities and inclusive of all other revenue or income on account of interest, dividend, rent, profit on sale of fixed assets, miscellaneous income and so on without any set-off for related items of expense.
The recommendations also provided certain explanations with the definition of Applicable Gross Revenue (ApGR), which for arriving at the revenue calculations for licence fee should be equal to the total GR of the licensee as reduced by the revenue from activities under a licence or permission issued by DoT, reimbursement, if any, from the Government; and a list of other income. Further, AGR is calculated by excluding GST paid to the Government from the ApGR, if ApGR had been included as a component of GST.
Trai has also said that the ministry of information & broadcasting (MIB) should revise the Form-D (the Statement of Revenue and Licence Fee for DTH licensees) and adopt the format of Form-D as prescribed in the recommendations. The process for the submission of Form-D should be made end-to-end online with facility to upload all the related documents in digital mode via a single window system.
MIB should develop a robust mechanism for deduction verification process through a single window portal. DTH licensee should pay an annual licence fee equivalent to 3% of AGR.
Licence fee for DTH licensees should be brought down to zero in the next three years. DTH licensees should not be charged any licence fee after the end of the financial year
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