New Delhi: The Ministry of Information and Broadcasting (MIB) is calling for a significant reduction or complete elimination of the Goods and Services Tax (GST) levied on digital news subscriptions. Currently taxed at 18%, the MIB argues this rate is stifling the growth of the online news sector and potentially compromising the quality of journalism.
In a formal appeal to the Department of Revenue, the MIB has drawn a parallel between digital and print news, noting that newspapers are entirely exempt from GST. The ministry contends that providing accurate and timely information to citizens is a public good, and that both print and digital platforms should be treated equitably.
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The MIB’s rationale extends beyond tax parity. The ministry expressed concerns that the higher tax burden is pushing news organizations towards a heavily advertising-dependent model, which can lead to sensationalism, clickbait, and compromised journalistic integrity. A reduction in GST, the MIB suggests, could encourage more sustainable business models for digital news outlets and foster a healthier news ecosystem.
The proposal will be presented to the GST Council for consideration in its upcoming meeting on September 9. Industry observers will be closely watching the council’s decision, as it could have far-reaching implications for the future of digital journalism in India.