With the dreaded GST landing today, lots of items will have the additional Goods and Service Tax applied on them, and the same goes for your postpaid and data subscriptions. As we already know the 6% GST will also be applied to mobile devices like tablets, smartphones, certain apps as well as other telecommunication products and services.
But what people don’t know is that mobile communications services have already had a 6% service tax on postpaid services to begin with of which will be replaced by the 6% GST. How much of a change this will incur is still up to debate but it shouldn’t change too much for the postpaid, broadband and data users.
The price of prepaid services and corresponding airtime for SIM Packs, Starter Packs and Reload Coupons will be maintained but as part of GST accordance telcos are required to charge 6% GST on top of these prices but all international roaming charges are not subject to GST as they are classified as a zero-rated supply.
For those who have questions regarding GST, there is a list of frequently asked questions here or visit the Consumer & Multimedia Forum on Facebook.
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