Govt asks Bharti Airtel, Vodafone Thought, different telcos to pay steadiness AGR dues directly: Report
New Delhi: The federal government on Wednesday requested Bharti Airtel, Vodafone Thought and different telecom corporations to pay remaining AGR dues as per the Supreme Courtroom order with out additional delay, based on sources.
The telecom division wrote to all telcos asking them to pay steadiness dues “without delay” and submit detailed bifurcation of funds (rationalization of self-assessed quantities), which it stated are obligatory for correct reconciliation of legit AGR dues.
Sources say Telecom Dept (DoT) sends letter to all #telcos to submit supporting doc on AGR (adjusted gross revenues) dues. DoT asks all telcos to both submit paperwork or pay the steadiness quantity with none delay. @AnshuSharma02 stories. pic.twitter.com/lHHXcL29Kz
— CNBC-TV18 (@CNBCTV18Dwell) March 4, 2020
The federal government has thus far obtained about Rs 26,000 crore from AGR funds, together with adhoc/ buffer quantities given by telcos to fulfill any reconciliation variations with the telecom division.
Nevertheless, the quantities paid by telcos is woefully decrease than the DoT’s Adjusted Gross Income (AGR) calculations, prompting the telecom division’s newest transfer.
Sources aware of the event stated that as the quantity paid by telcos is predicated on their very own self-assessment, the division has requested them to elucidate how they’ve arrived on the stated calculation, and pay the steadiness quantities.
They stated the letter was not in nature of a ‘risk’ however reasonably in search of a proof for the premise of corporations’ calculations and asking for remaining statutory funds.
Bharti Airtel has submitted over Rs 18,000 crore to the DoT declaring that it has made full and remaining settlement in direction of its AGR liabilities however the quantity is way lower than Rs 37,500 crore (together with Telenor) that the federal government estimates the corporate owes it.
It’s pertinent to say right here that Bharti Airtel on Saturday stated it has made fee of Rs 8,004 crore in direction of AGR dues to the federal government, an quantity over and above Rs 10,000 crore it has already paid earlier. The quantity of Rs 8,004 crore consists of Rs 3,004 crore in direction of a full and remaining settlement on AGR dues primarily based on self-assessment, and a deposit of buffer Rs 5,000 crore to cowl the DoT’s reconciliation variations.
Equally, Tata Teleservices has paid Rs 2,197 crore in AGR dues, and earlier this week topped that up with extra Rs 2,000 crore to cowl reconciliation variations, whereas DoT estimates its liabilities to be about Rs 14,000 crore.
VIL has thus far deposited Rs 3,500 crore in two tranches to the DoT however continues to be assessing its full AGR dues. In keeping with the federal government’s calculation, VIL owes Rs 53,000 crore in such liabilities.
In all, 15 entities owed the federal government Rs 1.47 lakh crore in unpaid statutory dues—Rs 92,642 crore in unpaid licence payment and one other Rs 55,054 crore in excellent spectrum utilization expenses.
Of the estimated dues that embrace curiosity and penalty for late funds, Airtel and VIL account for about 60 p.c.
These dues arose after the Supreme Courtroom, in October final 12 months, upheld the federal government’s place on together with income from non-core companies in calculating the annual AGR of telecom corporations, a share of which is paid as licence and spectrum payment to the exchequer.
The Supreme Courtroom final month rejected a plea by cellular carriers similar to Bharti Airtel and VIL for extension within the fee schedule and requested corporations to deposit their previous dues for spectrum and licences.
For the reason that 14 February tongue-lashing that the Supreme Courtroom gave telecom corporations for lacking its earlier deadline of 23 January to pay previous dues in addition to the DoT for failing to implement it, companies and the telecom ministry had been doing separate maths on the precise dues.
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