Mobile telecom operators said they would shift the proposed SIM replacement tax to the consumers end.
In the proposed budget for FY2014-15, an amount of Tk100 has been fixed as SIM replacement tax.
“If the mobile operators pay the tax, the amount will be Tk145 as they will have to pay an additional Tk45 as corporate tax,” said Chief Operating Officer at Robi Axiata Limited Mahtab Uddin Ahmed.
He was addressing a post-budget presser organised by the Association of Mobile Telecom Operators of Bangladesh (AMTOB) at a city hotel yesterday.
Due to such taxes, operators have to spend part of their investments on paying those taxes, said Chief Corporate Affairs Officer Airtel Bangladesh Limited Ashraful H Chowdhury.
“Every year 20,000 to 25,000 SIMs are being replaced. We, therefore, are thinking of shifting a portion of the tax to the clients end,” said AMTOB secretary general TIM Nurul Kabir.
He also requested the government again to withdraw the Tk300 SIM tax.
Nurul Kabir said: “If these demands are not met, mobile companies will face challenge to call charge rate at the current current level. We no longer want to subsidise SIM tax on behalf of customers.”
“We want withdrawal of SIM purchase and replacement taxes.”
Currently, listed mobile operators are paying 40% corporate tax while it is 45% for the non-listed companies. The general listed companies are now paying 27.5% corporate tax while non-listed companies are paying 37.5% corporate tax.
Demands also included withdrawal of 15% VAT on handset imports, reduction of VAT on Internet usage and exemption of VAT on Internet data modem.
Meanwhile, the Bangladesh Computer Samity yesterday welcomed the proposed budget, but demanded withdrawal of VAT on Internet.
It said withdrawal of 15% Vat on Internet use will help e-business and outsourcing flourish in the country.