| In pre-budget talks people were expecting government | | | | mobile phone industry. |
| to reduce tax on mobile phone SIM to reignite the | | | | Already people don't want to buy handset even with |
| already struggling telecom operators. Telcos also | | | | warranty due to their high cost as the same one can |
| urged government to reduce tax as they subsidized | | | | be found for less. Thousands of mobile phones cross |
| the amount to provide SIM for less. As a result, news | | | | through the border everyday without paying duty to |
| spread that the government is likely to reduce tax on | | | | government. Those illegal handsets are all around the |
| SIM card from Tk 800 to Tk 500. What a shame, it | | | | place and anyone can have those without any |
| didn't happen!! More over Mobile phones will be costlier | | | | problem. At the same time, low price Chinese |
| if Finance minister A M A Muhith's proposal for a 25 | | | | handsets are also available. If this extra Tax is |
| percent duty on their value is passed in parliament. He | | | | imposed, I don't think anyone can survive by importing |
| told this while placing the National Budget of 2009-2010. | | | | legal handsets. |
| "I propose to impose 25% customs duty on mobile | | | | The finance minister also sought to lift VAT on Internet |
| phone sets on an ad valorem basis instead of existing | | | | services in all educational institutions. "I propose to keep |
| specific duty of Tk. 300/set applied irrespective of | | | | this service within the reach of students and also to |
| quality and waive all existing VAT, supplementary duty | | | | signify our commitment towards Digital Bangladesh," A |
| and AIT. This would entail higher duty on high priced | | | | M A Muhith said in his budget speech. This can be |
| sets and lower duty on low priced sets." he said. That | | | | great news for universities, schools & colleges. |
| means, you have to pay at least 25% more to buy | | | | But government has to make sure that no one takes |
| new models of mobile phone with high configurations | | | | benefit of this. Because there is always a chance of |
| like 3G, mega pixel camera & compatible with | | | | ISP associated with those institutions, use their name to |
| other facilities. High profile handsets will be out of reach | | | | escape tax. |
| to common people. This may cause a great blow to | | | | |