The cost of making mobile phone calls and using the internet is set to rise again.
Currently, a supplementary duty of 20% is imposed on mobile phone services, which the interim government plans to increase to 23%.
A formal notification on this matter is expected soon, according to sources at the National Board of Revenue (NBR).
The NBR sources revealed that the proposal to raise the supplementary duty on mobile phone services by an additional 3% has been approved by the higher authorities of the interim government.
Approval has also been obtained from two ministries, and implementation will proceed upon issuance of the notification.
With the 3% hike, customers will have to pay a total of Tk56.3 in taxes on a recharge of Tk100. This includes Tk29.8 in supplementary duty, VAT, and surcharge, Tk6.1 for revenue sharing and minimum tax, and Tk20.4 as indirect tax. As a result, customers will only be able to use Tk43.7 of the Tk100 recharge after tax deductions.
Previously, during the tenure of the last government, the supplementary duty on mobile phone services was raised from 15% to 20% in the 2024–25 fiscal budget.
Currently, for a Tk100 recharge, users pay Tk28.1 in supplementary duty, VAT, and surcharge, Tk6.1 in revenue sharing and minimum tax, and Tk20.4 in indirect taxes, leaving a usable amount of Tk45.4.
Previously, during the tenure of the previous government, the supplementary duty on mobile phone services was increased from 15% to 20% in the 2024–25 fiscal budget.
As a result, for a recharge of Tk100, users currently pay Tk28.1 in supplementary duty, VAT, and surcharge, Tk6.1 in revenue sharing and minimum tax, and Tk20.4 in indirect taxes. This means that after all deductions, users effectively lose Tk54.6 in taxes from a Tk100 recharge.
President of the Bangladesh Mobile Phone Consumer Association Md Mohiuddin Ahmed said: “We lag far behind other countries in terms of internet services, but we rank among the highest globally in terms of Vat rates.”
He added: “With 48% of the population still without internet access, imposing higher taxes will discourage citizens from using internet services and exacerbate inequality.”
Meanwhile, the repeated increases in mobile service costs have led to a decline in internet users. Many customers are cutting back on their data usage due to higher expenses, which is hindering the nation’s progress in information and communication technology.
According to the latest data from the Bangladesh Telecommunication Regulatory Commission (BTRC), the number of mobile phone subscribers dropped to 188.7 million in November, a decrease of 7.3 million since June.
Similarly, the number of internet users fell by 9.7 million, down to 132.8 million over the same period.