Dialog alerts consumers of price hike due to VAT increase

With revisions to the Value Added Tax (VAT) coming into effect from 1 January, telecom giant Dialog Axiata has notified its consumers of the increases that will be seen in their monthly bills.

The telecommunications service provider stated that due to the increase in VAT from 15 percent to 18 percent, as announced by the government, taxes applicable to all mobile, mobile broadband, fixed broadband, pay television, and value-added services have been increased accordingly.

According to the notice, the total tax on local calls/SMS, VAS, and PayTV services is 42.02 percent, while the total tax on Data, Wi-Fi services, and IDD Calls is 23.50 percent.

However, in a few prepaid Data cards, the data quota was reduced and tax-inclusive price remains unchanged, Dialog said.