MUMBAI: The government has reversed its decision to levy service tax on cable Multi-System Operators (MSOs). As per a notification issued on Friday; the decision was taken in the public interest.

The government's decision has been welcomed by the MSOs. In-cable Network head-corporate communications Sharmila Banerjee described the decision as a great one.

"The service tax has been taking its toll on MSOs and it was going to affect the broadcasters as well. The issue has been amicably settled now. The government has taken the right decision," Banerjee said.

All-India Cable TV Forum has also greeted this decision. The forum had given a strike call on 17 August, protesting against the government's proposal to bring the MSOs under the service tax net. The strike was called off later.

Hathway CEO and MD Jayaraman refused to offer comments saying he is yet to get a complete picture on the government's decision.