AMTOB terms tax hike unjust, urges govt to reconsider

The Association of Mobile Telecommunication Operators of Bangladesh (AMTOB) termed the hike in taxes on the mobile phone companies and telecommunication services as unjust and sought a reversal of the move.

The leader of the association at a post budget press-budget held at a hotel in the capital yesterday said instead of lending a hand to the industry, the government has decided to increase taxes.

The proposed increased taxes on the mobile phone companies and on their customers’ phone usage.

Mahtab Uddin Ahmed, managing director and CEO of Robi, said none of our demand is fulfilled rather more tax has been imposed in the proposed budget this year.

“It is said that we do profit but don’t disclose it. But any audit could not prove that we launder money,” he said this at the press meet.

The imposition of minimum tax of 0.75 per cent of turnover so far meant that the investors of the operators were forced to pay 0.75 per cent of their revenue even though they were making losses, he said.

“It will be very unjust if the tax to be raised to 2 per cent of turnover from 0.75 per cent,” he said.

“Slapping tax on the industry will affect the small-scaled operator more,” said Banglalink chief corporate and regulatory affairs officer Taimur Rahman.

AMTOB said the new tax policy would burden the existing and new customers with additional costs.

It said supplementary duty on services provided through mobile phone SIM/RIM card was raised from 5 per cent to 10 per cent, SIM tax from Tk100 to Tk 200, minimum tax for mobile companies from 0.75 per cent to 2 per cent of turnover and import duty on smartphones from 10 per cent to 25 per cent in the proposed budget.

AMTOB said the tax proposals in telecommunication sector totally go against the vision of Digital Bangladesh and would hinder the growth of telecom related services.

It urged the National Board of Revenue (NBR) to remove the existing 5 per cent SD on mobile services and SIM Tax.

NBR was also requested to reduce the minimum corporate tax for non-profitable operators, and slash the corporate tax for listed and non-listed companies by 5 per cent.

AMTOB also requested the NBR to reduce the appeal charge on any financial disputes from the current 30 per cent to 10 per cent.

It said imposition of minimum tax of 0.75 per cent on turnover meant that investors would be forced to pay 0.75 per cent of their revenue, even though they were making a loss.

BK

AMTOB terms tax hike unjust, urges govt to reconsider

The Association of Mobile Telecommunication Operators of Bangladesh (AMTOB) termed the hike in taxes on the mobile phone companies and telecommunication services as unjust and sought a reversal of the move. The leader of the association at a post budget press-budget held at a hotel in the capital yesterday said instead of lending a hand to the industry, the government has decided to increase taxes. The proposed increased taxes on the mobile phone companies and on their customers phone usage. Mahtab Uddin Ahmed, managing director and CEO of Robi, said none of our demand is fulfilled rather more tax has been imposed in the proposed budget this year. It is said that we do profit but dont disclose it. But any audit could not prove that we launder money, he said this at the press meet. The imposition of minimum tax of 0.75 per cent of turnover so far meant that the investors of the operators were forced to pay 0.75 per cent of their revenue even though they were making losses, he said. It will be very unjust if the tax to be raised to 2 per cent of turnover from 0.75 per cent, he said. Slapping tax on the industry will affect the small-scaled operator more, said Banglalink chief corporate and regulatory affairs officer Taimur Rahman. AMTOB said the new tax policy would burden the existing and new customers with additional costs. It said supplementary duty on services provided through mobile phone SIM/RIM card was raised from 5 per cent to 10 per cent, SIM tax from Tk100 to Tk 200, minimum tax for mobile companies from 0.75 per cent to 2 per cent of turnover and import duty on smartphones from 10 per cent to 25 per cent in the proposed budget. AMTOB said the tax proposals in telecommunication sector totally go against the vision of Digital Bangladesh and would hinder the growth of telecom related services. It urged the National Board of Revenue (NBR) to remove the existing 5 per cent SD on mobile services and SIM Tax. NBR was also requested to reduce the minimum corporate tax for non-profitable operators, and slash the corporate tax for listed and non-listed companies by 5 per cent. AMTOB also requested the NBR to reduce the appeal charge on any financial disputes from the current 30 per cent to 10 per cent. It said imposition of minimum tax of 0.75 per cent on turnover meant that investors would be forced to pay 0.75 per cent of their revenue, even though they were making a loss. BK