GP, BL pay Tk 152cr VAT on 4G fees, Robi risks bank account freeze

Grameenphone and Banglalink have paid Tk 151 crore in value-added tax (VAT) on their spectrum acquisition fee for 4G service but Robi has yet to pay Tk 17 crore VAT against technology neutrality fees, officials of National Board of Revenue said.
Bangladesh Telecommunication Regulatory Commission on Monday handed over to Large Taxpayers Unit cheques worth Tk 152 crore that Grameenphone and Banglalink paid in VAT, they said.
The mobile phone operators had to pay VAT before introducing 4G service, but they did not do so. 
As a result, LTU filed cases against the BTRC for its failure to realise VAT with the spectrum charges and related fees from the operators, they said.
Because of the BTRC pressure, GP and Banglalink paid a total of Tk 151 crore, the first instalment of VAT on their spectrum acquisition fee for 4G, they said.
But, Robi is yet to pay Tk 17 crore in VAT against the fees related to tech neutrality which allowed the operator to launch 4G service, they said.
LTU will freeze the Robi’s bank accounts if it fails to pay the VAT by next week, said an official.
BTRC, on its part, may decide to suspend Robi’s 4G service in its commission meeting next week, he said.
The BTRC on February 19 handed over 4G/LTE licences to mobile phone operators which started offering the fasted internet services on the same day.
On February 13, the government collected Tk 5,268 crore by selling 15.6 Megahertz (MHz) of spectrum to Grameenphone and Banglalink through auction as well as conversion fee for technology neutrality, adds the BSS.
Banglalink acquired a total of 10.6 MHz spectrum — 5 MHz in 2100 band and 5.6 MHz in 1800 band with TK 2,558 crore while Grameenphone took 5 MHz only in 1800 band at a price of TK 1,284 crore.
Besides, TK 850 crore came as spectrum conversion fee for technology neutrality. 

News Courtesy: www.newagebd.net