The deadline for filing applications to participate in 2G and 3G spectrum auctions ends today while four leading mobile phone operators were resolute in their non-participatory approach to the bid scheduled to be held on April 30.
Sources said the operators’ move came in the wake of longstanding unresolved SIM replacement tax issue that attached around Tk2,464.88 crore.
Bangladesh Telecommunication Regulatory Commission (BTRC) mulls over rescheduling the auction and other related dates. The operators also requested the regulator to formally reschedule it.
“BTRC chairman has already verbally told us about his rescheduling decision and official declaration may come today,” a senior executive officer of a leading mobile operator told the Dhaka Tribune yesterday evening, asking not to be named.
He said not only SIM replacement tax issues, but also VAT on spectrum issues had not been discussed. “And resolving this issue may take more time.”
Earlier, the operators sent a joint letter to BTRC chairman to suspend the auction, but on March 18, Chief Executive Officers of cellphone companies also verbally requested BTRC Chairman Sunil Kanti Bose at a meeting about rescheduling.
They also sent a letter to Finance Minister AMA Muhith last week, citing the SIM replacement tax issue, and seeking a meeting with him, but the meeting has yet to be held.
Sources said BTRC chairman is also trying to arrange a meeting between the finance minister and the operators.
The meeting could be held anytime today, added the sources.
In 2013, the tax regulator claimed more than Tk3,010 crore concerning SIM replacement tax from four leading mobile phone operators – Grameenphone, Banglalink, Robi and Airtel.
NBR collected information from the operators about their SIM replacement numbers in between August 2010 and December 2011, and the SIM tax was Tk800 at that time.
The apex tax authority calculated all the taxes against all replacement numbers with interest.
In 2013, the mobile phone companies wanted resettlement of the issue before 3G spectrum auction and they placed it as a condition, but after the telecom regulator and the Finance Ministry’s assurance, they took part in auction. Despite that, things did not go well following the bid.
Later, NBR formed SIM Card Replacement Review Committee (SCRRC) which prepared the final report and claimed the tax amount of Tk2,464.88 crore.
But that was one-sided report which did not take into account the operators’ logic, the cellphone companies also claimed.
“If we find a resolution from the finance minister, we will go for auction decision,” the operators’ top officials said, asking not to be named.
Presenting the issue to the finance minister and the Prime Minister’s Office, parent companies of the four leading mobile operators of Bangladesh expressed their inability to participate in the upcoming spectrum auction in a letter on March 1.
They said they cannot spend their money on both SIM replacement tax and and spectrum auction.
The government has to choose either of the two to make money from, added the authorities of parent companies.
