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| The six percent tax on prepaid users will come into effect on september 15 |
KUALA LUMPUR, Sept 9 — Pakatan Rakyat (PR) leaders have demanded that Putrajaya push mobile telecommunications firms to withdraw a proposed plan to pass on a six per cent service tax to prepaid users, or face a nation-wide campaign attacking it over the issue.
Local telcos announced yesterday that they will begin levying a six per cent service tax for all purchases of prepaid reloads and starter packs beginning September 15.
The telcos also said the service tax on prepaid services was not new but had merely been absorbed by the companies since its introduction in 1998.
PR leaders argued that service tax for prepaid reloads will effectively “punish” younger consumers and those from the lower income group, and that only the telco companies benefited from the move.
Pakatan pressures Putrajaya to sink mobile prepaid tax
