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Industry Discussion about Service Tax on Prepaid Airtime Reload

Mobile users in Malaysia will soon start paying for service tax on airtime because the mobile operators in Malaysia plans to pass down the 6% service tax imposed by the government. Read more about this on- [Comment] Prepaid users to pay more for airtime, service tax?

One of the mobile operator, Celcom Axiata is set to meet up with the Malaysian Communications and Multimedia Commission (SKMM) to discuss about the planned prepaid service tax in Malaysia.

According to its Chief Executive Officer Dato’ Sri Shazalli Ramly, Celcom will discuss this matter with SKMM and the other mobile operators(DiGi, Maxis, U Mobile) tomorrow. The discussion is on-going and Celcom said that a joint industry announcement on the prepaid service tax matter will be announced sometime soon.

If the service tax is pass down to prepaid customers in Malaysia, a RM10 reload for an example will only contain a RM9.40 worth of airtime with 60 sen charged as service tax.

About Kugan

Kugan is the founder of MalaysianWireless. He has been observing the mobile industry since 2003. Connect with him on Twitter: @scamboy