" ITREALMS: MTN tasks NCC on multiple taxes

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Monday, August 15, 2005

MTN tasks NCC on multiple taxes

LARGEST Global System for Mobile communications (GSM) in the country, MTN Nigeria has tasked the Nigerian Communications Commission (NCC) to drive industry lobby against multiple taxes.

Presently telecom operators are suffering on various taxations from different apparatus of the government, from the local, state and federal as well as government agencies such as the proposed National Information Technology Development Agency (NITDA) two per cent tax and that of the Nigeria Civil Aviation Authority fees for mast tower installations.

MTN Nigeria while sharing its operating experience in the environment, at a one-day seminar organized by Joint Action Committee for Information and Communications Technology Awareness and Development (JACITAD), in Lagos, said NCC should lead the lobby at all levels.

The telco in a presentation by its Regulatory Affairs Manager, Ms Oyeronike Oyetunde, entitled 'Operating in a Competitive Telecoms Environment: The MTN Experience' said the role of NCC in ensuring competitive environment in the sector is very crucial.

She mentioned specifically the NITDA two per cent tax on all companies with turnover above N100 million contained in the agency's bill presently before the national assembly and NCAA planned introduction of a new tax regime on the communication masts and tower construction and installations which amounts to about 1000 per cent to 5000 per cent increase in rates.
Ms Oyetunde noted that impact of multiple taxation, exposes the sector to double and regressive taxation, hence hampers growth and robs the industry of much needed capital to meet transmission infrastructure requirements and universal access demands.

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