Revenue

License Fee & Spectrum Charges : License Fee introduction

License Fee Collection:

The Office of Controller of Communication Accounts (CCA) Dehradun is responsible for collection of license fee under section IV of Indian Telegraph Act, 1985 for providing various telecom services in the UP(W) Service Area with effect from January, 2004 from all commercial licensees of Cellular, Basic, Unified Access Service, NLD, ILD, Commercial VSAT, PMRTS services, Internet Service Providers (without Telephony), Internet Service Providers (with telephony), New Licensees of Internet service and licenses of Captive VSAT, CMRTS, Radio links, Microwave links and OFC links.

The terms and conditions of the license prescribe the Gross Revenue, Adjusted Gross Revenue, Percentage levy of license fee payable etc. The licensee is permitted deductions from Gross Revenue and Adjusted Gross Revenue (AGR) is arrived, on the basis of which service provider is required to pay the license fee at the prescribed percentage (i.e. 8%) basis and deposit it on self assessment basis, quarterly.          

Gross Revenue(GR): The Gross Revenue shall be inclusive of installation charges, late fees, sale proceeds of handsets, revenue on account of interest, dividend, value added services, supplementary services, access of interconnection charges, roaming charges, revenue from permissible sharing of infrastructure and any other miscellaneous revenue, without any set-off for related item of expense etc.

Adjusted Gross Revenue(AGR):  For the purpose of arriving at the AGR, following shall be excluded from the Gross Revenue to arrive at the AGR:

1.         PSTN/PLMN/GMPCS related call charges actually paid to other eligible/entitled telecommunication service providers within India.

2.         Roaming revenues actually passed on to other eligible/entitled telecommunication service providers.

3.         Service Tax on provision of service and Sales Tax actually paid to the Government if gross revenue had included as component of Sales Tax and Service Tax.    

 

The CCA, Uttarakhand Circle assess the license fee of TSPs/ISPs of UP(W) LSA on quarterly  basis with following other responsibility  

1.         Collection of license Fee from all service providers viz UASL/CMTS/Basic/UL/ISP & ISP-  ITs

2.         Carry out the verification of deduction claimed by the service providers holding UASL, CMTS,   Basic, UL, and allow/disallow claims for deduction based on such verification.

3.         Assessment of License Fee payable with respect to decentralized licenses.

4.         Being custodian of Financial Bank Guarantees & performance Bank Grantees as prescribed  under the license, their periodical review for validity and amount. It serves as securitization of telecom dues to the Government.

5.         Encashment of Bank Guarantee if licensing conditions are not fulfilled by the TSPs. 

6.         Submission of periodical reports of Revenue collection to DoT(HQ)& updating of GR, AGR, Revenue collection in LF/WPF Software.

 In addition to above, the Office of CCA is to ensure that dues of Government are correctly assessed with respect to license fee and deposited in the government account within the prescribed time period.

 In furtherance to above, work relating to collection of penalties levied for subscribers non verifications & non-compliance of instruction of EMF radiation norms on Telecom service providers by TERM Cell and reconciliation thereafter with TERM cell has been entrusted to CCA office.

License Fee Payment:-

An annual License fee as a percentage of Adjusted Gross Revenue (AGR) shall be paid by the Licensee service-area wise, for each authorized service from the effective date of the respective authorization. The License fee shall be 8% of the AGR. Provided that from Second Year of the effective date of respective authorization, the License fee shall be subject to a minimum of 10% of the Entry Fee of the respective authorized service and service area.

 Due Dates for payment of License Fee:-

Period	For the Quarter ending period	Due Dates	Last date of submission of documents in support of deduction claim
I Quarter	30 June	15 July	15 September
II Quarter	30September	15 October	15 December
III Quarter	31 December	15 January	15 March
IV Quarter Provisional	31 March Provisional	25 March	15 June
IV Quarter Actual		15 April

              

  Holiday will not result in date of payment being extended beyond the 15

 

License Fee & Spectrum Charges : Verification of deductions

Verification of deductions claims

CCA, Dehradun Circle, does the verification of deduction claimed by the service providers holding UASL, CMTS, Basic, Unified Licenses after allowing admissible deductions i.e. PSTN Charges, Roaming Charges, Service Tax, Sales Tax, claimed in the audited quarterly AGR are verified with the vouchers such as invoice/debit-credit notes, bank statements and other proof of payments. The deduction such as leased line and port charges, charges for infrastructure sharing, Bad debt, Emergency calls have not been allowed for deductions.

 

The status of completion of verification of deductions conducted in CCA Dehradun:-

Sl. No.	Name of Telecom Licensees	Year up to which deductions/verifications completed
1.	M/s Vodafone Mobile Services Ltd.	2018-19
2.	M/s Reliance Communications Ltd.	2025-26
3	M/s Sistema Shyam Teleservices Ltd.	2017-18
4	M/s Tata Teleservices Ltd.	2025-26
5	M/s Reliance Jio Infocomm Ltd.	2025-26