Tanzania Mobile Operators Moves to Court to Block SIM Tax
Mobile services operators in Tanzania are seeking injunction barring the Tanzania Revenue Authority (TRA) from implementing a SIM card tax requiring phone users to pay TZS1,000 (US$0.62) every month.
Tigo, Airtel, Zantel, Tanzania Telecommunications Company (TTCL) and Vodacom Tanzania under their umbrella association mobile operators association of Tanzania (MOAT), have filed complaints with the country’s tax appeals tribunal after their cry to the President for intervention bore no fruit.
MOAT claim that the tax which was included in the 2013/14 Finance Act and came into effect in July 2013, would hinder further penetration of mobile services and might lead to the disconnection of at least eight million subscribers. The new tax also requires each mobile phone subscriber to pay the taxman TZS3,000 (US$1.86).