New telephone calls tax cuts talk time

Jamaicans are to lose some of their calling time as a result of the new telephone tax structure despite assurances from the Government the measure should have no effect on customers.

The Government is seeking to earn $200 million from the application of General Consumption Tax (GCT) on the face value of prepaid calling vouchers or airtime as of today.

The finance ministry has said the measure is aimed at correcting an anomaly by ensuring that the GCT collected by non-registered taxpayers is accounted for by the telecommunications providers.

The ministry stressed that this move should not result in an additional cost to consumers as it represents an administrative measure.

However, speaking on Real Business on Power 106 FM this morning, Corporate Communications Manager at LIME, Elon Parkinson, said mobile customers will now pay $0.50 per minute in taxes instead of $0.40. 

He says the tax on landline calls will now be increased by $1.25 per minute.

Parkinson says LIME customers will lose about a minute of call time because of the tax.

Digicel has also said the measure will see the tax on mobile calls moving from $0.40 per minute to $0.50 and on landline calls from $0.05 to $0.06.

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