The Tax Net Tightens

Teri Ann Renee Paisley, Gleaner Online Writer

Are you sitting down? Okay good so now I can break the bad news. You are going to have to pay more to talk less. Effective today consumers will pay increased taxes on phone calls. This tax encompasses both networks and includes calls made to landlines.

I have mixed feelings about this. I know the government is trying to find ways to keep our economy afloat, however to increase charges on the one thing we Jamaicans have, the freedom to talk as much as we can will be severely curtailed.

I can just imagine the conversations that were already brief before the tax will become even more so as we endeavour to save our money. A friend of mine said she would call me but didn’t and when I asked why she proclaimed she had unexpectedly run out of credit. I suspect that scenario will be repeated all over Jamaica.

How much is the increase?

Although consumers were promised that the new tax would not affect them, Corporate Communications Manager at LIME, Elon Parkinson, spoke on Power 106 FM on March 1, 2013 and informed mobile customers that they will now pay $0.50 per minute in taxes instead of $0.40.
He also stated that the tax on landline calls will now attract a fee of $1.25 per minute.

I realize you might be thinking there should not be much fuss about a few cents but Mr. Parkinson’s next statement should give you reason to pause and think about its impact. He said that LIME customers will lose about a minute of call time because of the tax.
Still feel as if it has no impact? It might occur to you, as it did me, that extra minute might bring to a premature end a very important call.

Digicel customers are not to left out of the tax net. They will pay an increased tax of $0.50 on their mobile calls and $0.06 on landline calls.

So how are you going to cope?

Almost everyone in Jamaica from the hand cart man to the bank executive has a cellphone and I don’t see anyone giving them up anytime soon. So perhaps we will just have to learn to talk faster!

What’s your take on the phone tax?

Tags: increase, taxes