Prepaid Service Tax to be implemented in September

Mobile operators in Malaysia such as Celcom, Maxis & DiGi are committed to pass on the service tax to their prepaid users. According to media reports, the service tax, up to 6% will be implemented sometime in September 2011.

Postpaid users in the country are already paying a 6% service tax while the mobile operators(Telcos) are absorbing the tax on prepaid. With the new implementation scheduled sometime next month, a RM10 reload for an example will only contain a RM9.40 worth of airtime with 60 sen charged as service tax.

In June 2011, Tune Talk intended to pass down the 6% prepaid service tax to its customers starting July but the MVNO decided to delay it after industry players met with the regulator(SKMM).

A comment made by Malaysian Wireless gathered over 1,000 “Facebook likes” from consumers who disagreed with the move on prepaid tax.

[Source]– TheSun