‘Withdraw VAT proposal on mobile import’

Traders will find illegal ways to bring in mobile phones if 15 percent VAT on their import is imposed, mobile operators and businesspersons claim.

Both the Association of Mobile Telecom Operators of Bangladesh (AMTOB) and Bangladesh Mobile Phone Importers Association demanded that the plan be dropped before the budget for the next fiscal is passed.

They also recommended that the proposal to impose Tk 100 tax for SIM replacement be withdrawn, at separate press briefings at Ruposhi Bangla on Wednesday.

Finance Minister Abul Maal Abdul Muhith suggested adding more VAT on the import of mobile phone for the ‘sake’ of local businesses while presenting the next budget on Jun 5.

The new budget, now under discussion, will be passed on Jun 29 and come into effect from July.

AMTOB Secretary General TIM Nurul Kabir said every time a subscriber spent Tk 100, Tk 55 of it went directly to the government exchequer.

The new budget proposes more taxation which, if implemented, will not allow mobile services to continue in the current rates, he said.

“Mobile service can no longer grow with subsidies. Businesses will have no option but to increase service fees.”

Source: Bd news24


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