Statement: Telecommunication Networks to review service charges on November 1

Telecommunications networks, AirtelTigo, MTN and Vodafone, are set to review tariffs charged for the use of their services on November 1.

According to a statement issued by the Ghana Chamber of Telecommunications on behalf of its members – AirtelTigo, MTN and Vodafone – the review follows government amendment of the Acts reference, VAT (ACT 970), NHIL (ACT 971) & GETFL (ACT 972) in the 2018 mid-year budget review.

The statement signed by the CEO of Ghana Chamber of Telecommunication, Kenneth Ashigbey, said the networks will pass on the cost of the new levies to their consumers which will result in the increase of the cost of telecommunication services.

“The objective was to “give effect to the conversion of NHIL and GETFL into levies that are not subject to the input-output mechanism, and delinking them from VAT by removing the option of input tax deductibility,” thereby giving both levies a unique and different legal identity and distinguished from VAT”

According to the Chamber, customers of telecommunication networks will be notified as and when the changes are made.

“Customers of telecommunication services will be notified by their service providers prior to any changes being made and the expected changes will take effect on 1st of November 2018”.

 

Read the entire statement below;

The Ghana Chamber of Telecommunications on behalf of its members – AirtelTigo, MTN and Vodafone – wishes to notify its esteemed customers and the general public of tariff modifications following the implementation of the new tax laws.

The government as part of the 2018 mid-year review of the budget amended the Acts referenced above.

The objective was to “give effect to the conversion of NHIL and GETFL into levies that are not subject to the input-output mechanism, and delinking them from VATby removing the option of input tax deductibility,” thereby giving both levies a unique and different legal identity and distinguished from VAT.

Our members, who are responsible corporate entities, would comply fully with Ghana’s laws and ensure the distinction between VAT and the new levies emanating from their separate origins and basis in law. As intended the incidence of the two new levies will thus be on consumers and will result in the increase of the cost of telecommunication services.

Customers of telecommunication services will be notified by their service providers prior to any changes being made and the expected changes will take effect on 1st of November 2018.

The telecommunications industry remains committed to full transparency and accountability to both the Government of Ghana and their customers.

By: Derrick Ofori