Telenor Myanmar is evaluating tax amendments declared earlier this month and assessing how the changes will impact the pricing of its products and services.
Effective from 8 January 2022, the amendment to the Union Tax Law 2021-22 declared by the State Administration Council addresses SIM card sales and activations, as well as data service consumption through mobile or fixed networks.
With this amendment, all telecom operators in Myanmar will be affected as SIM cards will receive a flat tax increase of MMK 20,000 for every new SIM card. Revenues from data services will be subject to commercial tax of 15%.
This tax is application to both consumers and businesses for mobile and fixed connections. Voice and SMS services are not subject to tax amendments.
This amendment comes after price hikes on telecom services in December 2021.
In a statement, Telenor Myanmar said: “All telecom operators have stopped sales of SIM cards until the changes can be reflected in respective IT systems. Price changes for data consumption should be expected on data packs across all mobile operators and internet service providers.”