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6% Tax For Prepaid Mobile Phone

Sharing my thoughts. I read about the news yesterday in theStar. It's on Buletin Utama, TV3 and all other TV stations as well.

Telecommunication companies (Telcos) said they will no longer absorb the service tax which was introduced in 1998. The service charge will now be imposed on purchases of prepaid reloads and prepaid starter/SIM packs starting from 15th September.

This is similar to the service tax levied on food and beverage purchases from restaurants and hotels. The service tax was raised from 5% to 6% effective January 2011. (source theStar)

The telcos are Celcom Axiata Bhd, Maxis Bhd, DiGi Telecommunications Sdn Bhd, Tune Talk Sdn Bhd, Merchantrade Asia Sdn Bhd, Salamfone Sdn Bhd, XOX Bhd and IMEtel.


I can see that lots of prepaid users are not very happy about it. Knowing Malaysian, no matter how much the price is, they will still use and pay for it. With the charging of 6% service tax, if a user topped up RM10 they have to fork out additional RM0.60 which means it will be RM10.60.

OK, here's the thing. Why do you have to be angry about it anyway? Like you don't experienced paying extra RM2.31 when you eat at McD or KFC once a week. Or.. like you don't have to pay extra service charges for government tax RM3.99 and restaurant service charge RM5.00 in a single receipt.

Take example other things, like ciggie and ASTRO. Lots of people still smoking despite the government campaign 'TAK NAK MEROKOK'. ASTRO, even they raised the price users are still watching it. New customers keep on registering, taking into new additional packages some more.

Let's face it, this might be a burden to some low income users and students especially. And if this is something the Telcos cannot help you, then it's your own intitiative to help yourself. Use office phones, public phones or facebook, twitter, email and etcs. I know Malaysian loves free things!
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