AGR an unprecedented crisis, sought cut in taxes: Bharti Mittal

Govt to look at balancing SC order compliance, telcos' health, consumer interest, sources said, adding telcos have already paid ₹16,000 cr

Bharti Airtel chairman Sunil Mittal on Thursday met Telecom Minister Ravi Shankar Prasad in the wake of the current AGR payment to be made by the telcos, saying he suggested that for the overall health of the industry, taxes needed to be brought down.

Mittal, however, said the issue of AGR payment per se did not figure in the talks. The discussion was on the overall industry, he said.

"Adjusted Gross Revenue has been an unprecedented crisis for the telecom industry. I made certain suggestions on the overall health of the industry. Industry has been heavily taxed and taxes need to be looked at. The issue of very low revenues left in the kitty of the industry needs to be addressed and the AGR also need to be dealt with", he said after the meeting with Prasad.

He said Airtel will make the balance payment expeditiously ."The demand for reduction in taxation for the telecom sector has been for a long time. The regulator has been supporting it", he said in response to a query if he has sought any cut in levies.

Mittal met the minister amid reports that said government was looking at some form of relief for the sector in view of huge AGR dues to be paid by telcos.

The telcos, particularly Vodafone Idea, which is severely hit by the AGR payment, has sought a bailout. The options here before the government are limited.