Recommendations to reduce duty on mobile phone calls

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Recommendations to reduce duty on mobile phone calls

The mobile operator companies of the country have recommended to reduce the 20 percent supplementary duty and 1 percent surcharge on mobile phone services. They explained in favor of the recommendation that such taxes are generally imposed on unnecessary, unwanted and luxury goods and services. The representatives of the mobile operators have demanded the complete abolition of supplementary duty and surcharge.

These things were said in a press release of the Association of Mobile Telecom Operators of Bangladesh (AMTOB).

 

On January 9, the supplementary duty on telephone services (talk time, internet usage, etc.) using a mobile phone SIM or RIM card was increased from 20 percent to 23 percent. After 9 days, this supplementary duty rate was now restored to its previous place. Now, the people concerned in this sector want it withdrawn.

 

Representatives of mobile operators have demanded a reduction in corporate tax in the budget discussion. They said that the current tax rate is 40 percent for mobile operators listed on the stock exchange and 45 percent for unlisted companies. The general corporate tax is 27.5 percent for 9 companies listed on the capital market and 20 percent for listed companies. Representatives of the country’s mobile operators have recommended that mobile operators be reclassified to other companies instead of being classified separately.

AMTOB Secretary General Mohammad Zulfikar said that in global terms, mobile phone operators pay the highest tax. Moreover, the government has been increasing taxes in this sector almost every year, which is having an adverse impact on consumers. Due to the tax increase, the number of mobile and internet subscribers in the country has decreased significantly since the middle of last year, which continues to increase.

This demand was made during the budget discussion with the National Board of Revenue (NBR) today. The discussion meeting was held at the NBR building in Agargaon. In addition, a proposal has also been made to withdraw the value-added tax on SIM supply.

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