Ministry to review telecom excise duty

The Information and Communications Technology Ministry has promised to consider the request of the TOT and CAT Telecom labour unions to find a way to cancel the telecom excise duty.
Minister Sitthichai Pookaiyaudom said yesterday he would consult with the relevant state agencies to see if it were possible to cancel the tax. "I can't tell right now if the tax can be revoked as I need time to study it," he said after receiving the request of the two labour unions. The unions claimed that the tax has cost TOT and CAT a total of Bt20 billion since its imposition three years ago by the government of ousted prime minister Thaksin Shinawatra. Under the tax, cellular operators pay 10 per cent of their concession fees to the Excise Department, with the remainder going to concession owners TOT or CAT. Likewise, fixed-telephone operators pay the Excise Department 2 per cent of their concession fees. In the pre-excise era, TOT and CAT each collected the full concession revenue from their concessionaires. Moreover, both state agencies also have to pay the telecom excise despite being licensees of the National Telecommunications Commission. In a separate matter, Sitthichai said he had submitted his recommendations for new board directors of TOT, CAT and Thailand Post for the consideration of the Finance Ministry. "The list of names is expected to be announced within the next few days," he said. Sitthichai admitted that some candidates had lobbied him to promote them as board directors.
Telecom Reporters
The Nation
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