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Help DTH sales picks up in Tamil Nadu state
CHENNAI: Direct to Home ( DTH) operators in Tamil Nadu will feel the heat because of the state government's decision to impose a 30% entertainment tax on DTH connections. Industry sources said the move would hurt Sun Direct maximum as it is the largest DTH operator in the state. The tax has been imposed to preempt people from migrating from Arasu Cable TV to DTH, they said.

Sun Direct, with 17.5 lakh connections, controls 80% to 85 % of the DTH subscriber base in Tamil Nadu. The balance is shared by other operators like Airtel, Videocon, Tata Sky and Dish TV.

"The state government is targeting us by imposing 30% tax on DTH operators. It will also hit the DTH consumers badly because we have to collect at least a part of the tax from our subscribers. We have no other alternative," a senior executive with a DTH operator said. He also said that they planned to go to court against the heavy tax imposition.

Ready Full Story at Indian DTH Blog

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