{"id":1042479,"date":"2026-10-12T09:40:44","date_gmt":"2026-10-12T04:10:44","guid":{"rendered":"https:\/\/telecomlive.in\/web\/?p=1042479"},"modified":"2026-10-12T09:40:42","modified_gmt":"2026-10-12T04:10:42","slug":"gst-move-puts-subscription-model-under-pressure","status":"publish","type":"post","link":"https:\/\/telecomlive.in\/web\/2026\/10\/12\/gst-move-puts-subscription-model-under-pressure\/","title":{"rendered":"GST move puts subscription model under pressure"},"content":{"rendered":"<p>The GST Council\u2019s proposal to clarify tax liability on app-based rides could make the subscription model used by ride-hailing platforms significantly more expensive. There\u2019s a likelihood that companies may reconsider a business model that has gained ground across the industry over the past few years. <\/p>\n<p>Under the model, drivers pay platforms a fixed subscription or recharge fee and retain the entire fare from each ride. Platforms have so far paid 18% GST on the subscription fee as they provide technology services rather than the underlying transport service. The proposed clarification to Section 9(5) of the Central GST Act would require platforms to pay 5% GST on the entire fare for notified services, irrespective of their commercial model.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The GST Council\u2019s proposal to clarify tax liability on app-based rides could make the subscription model used by ride-hailing platforms significantly more expensive. There\u2019s a likelihood that companies may reconsider a business model that has gained ground across the industry over the past few years. Under the model, drivers pay platforms a fixed subscription or recharge fee and retain the entire fare from each ride. Platforms have so far paid 18% GST on the subscription fee as they provide technology services rather than the underlying transport service. The proposed clarification to Section 9(5) of the Central GST Act would require [&hellip;]<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[63,4,12],"tags":[],"class_list":["post-1042479","post","type-post","status-publish","format-standard","hentry","category-it-2-the-financial-express","category-newspapers","category-the-financial-express"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/1042479","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/comments?post=1042479"}],"version-history":[{"count":1,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/1042479\/revisions"}],"predecessor-version":[{"id":1042502,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/1042479\/revisions\/1042502"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=1042479"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=1042479"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=1042479"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}