The Association of Licensed Telecommunications Operators of Nigeria (ALTON) have released a statement stating why the proposed tax regime will be cumbersome and impractical.
Here are three reasons based on the statement why using a mobile phone may become too expensive to the common man due to the inclusion of communication tax.
I. The introduction of the Communication tax by federal government will amount to double taxation, as there is already the 5% Value Added Tax(VAT)
2. The statement noted that high consumer taxes on communication services would impact negatively on economic and broadband development.
3. The telecom operators will push up the cost to consumers which will adversely impact the adoption of broadband affordability which is a key challenge in connecting the unconnected.