The introduction of six percent service tax on prepaid reloads and prepaid starter/SIM packs has united young politicians from both sides of the political divide to protest against the move.
Yesterday a joint statement issued by Malaysian telco industry announced that the purchases of prepaid reloads and prepaid starter/SIM packs for all telcos will carry a six percent service tax, effective Sept 15.
The telcos described the tax as a consumption tax and chargeable to the customer, as provided for in service tax laws.
Solidariti Anak Muda Malaysia (SAMM), an NGO led by PKR leader Badrul Hisham Shaharin, or more popularly known as Chegubard, joined Khairy in the call against the new levy.
The duo became bitter rivals when Chegubard contested against Khairy for the Rembau parliamentary seat in the last general election, and the battle continued in Twitter in the wake of the polls.
SAMM reminded the government that most of the prepaid mobile users are from low income groups, including factory workers and students.
"Making the six percent tax compulsory shows that the government protects only the corporates and telcos which will transfer this burden to the consumers although they make profits every year," awam walk and wheel launch 200607 menara celcomsaid a SAMM statement released yesterday.
It accused the government for 'kowtowing' to giant corporates with the purpose of enriching them without considering the problems they will cause consumers. SAMM called on the people to reject the federal government should it continue to pursue the policies that burden them.
After yesterday's announcement, BN and Umno youth chief Khairy Jamaluddin was among the first to openly express his disapproval to the Prime Minister Najib Abdul Razak.
"Boss Najib, tax to prepaid users is an inappropriate decision and burden the people. I object. Request to be cancelled," said Khairy in his micro-blogging website Twitter last night.
However, Khairy's view was not shared by his secretary-general in the youth wing Abdul Rahman Dahlan. In his Twitter, the MP for Kota Belud saw the levy as a contribution to the nation's economy by the prepaid users.
"This time it's pre-paid users' turn to contribute to the development of the country. Previously it was the other groups.
"The six percent (tax) is not going to hit you badly if you are prudent in using your handphone. But the benefit to the nation is tremendous," he said.
Bantahan Keras 6% Cukai Telco Prabayar !
Bantah tindakan Telco caj 6 ke atas pembelian kad prabayar-prepaid
source
"The levy, according to MP for Kota Belud, as a contribution to the nation's economy by the prepaid users."
Sorry, MP Kota Belud!!... to us the levy is just another stratagem by the gomen, simply robbing the poor to pay for Rosmah's diamond ring...
cheers.
3 bulan punya hasil service tax daripada pengguna pre-paid gerenti boleh bayar kos cincin berlian Bik Mama!!!!
ReplyDeleteI'm a worker with one of the Telcos...feel sad with this issue now but fyi the Gomen keep on pushing us to absorb the service tax cost...In addition to the corporate tax, we also had to pay 6% of gross revenue yearly to the USP fund contribution to SKMM which again meant to be a noble intention to develop the basic telecom services in the non-profit area such as kawasan pendalaman but we know the money somehow had been misused by the Govt cronies for the own needs.
ReplyDeletePls make this havoc as we also aware of the burden that will be bared by our pre-paid customers.
We're clueless..running business hutang bank and bond kena bayar, at the same time operational cost keep on increasing, revenue keep on shrinking due to competitive market and cost pressure...and somemore the Govt keep pushing us for the taxes kununnya for the development...
To tell you the truth...Telco industries is the next lucrative sector after Oil & Gas - Petronas...where the cronies want to make big and easy money before GE13.
Hamba Allah - Cheras
Mobile operators in this country pays hundred of millions in service tax according to Dato’ Joseph Salang Gandum, Deputy Minister of Communications Malaysia.
ReplyDeleteYesterday the mobile operators met with SKMM to discuss about the prepaid service tax in Malaysia as the operators have been absorbing the cost all these while. In response to that, the Deputy Minister told Malaysian Wireless that the prepaid tax has got nothing to do with SKMM and the mobile operators should refer this matter to the Ministry of Finance.
He also said that the prepaid users in this country should not be burdened with extra chargers. “Of course we want the industry to absorb the cost(prepaid service tax), consumers shouldn’t be burdened with all these,” he told Malaysian Wireless.
A friendly source close to Malaysian Wireless said that some 4-5% service tax will be pass down to prepaid users in Malaysia. But the method of passing down the cost to the consumers is still being decided. He added that the mobile industry is still discussing this matter.
Tune Talk planned to pass down the 6% service charge to all its prepaid customers starting 1st July 2011, however it is believed that the MVNO might delay this until the other mobile operators such as Celcom makes the 1st move.
A new date is being planned for the prepaid service tax implementation. The prepaid service tax is rumoured to be effective on 1st January 2012.
mampuslah!!!