Telecommunication companies in the country will from Tuesday, November 26, 2019, stop the upfront deduction of the Communication Service Tax (CST), the Ghana Chamber of Telecommunications has announced.
In a statement, the Chamber said it will complete the reconfiguration of its systems to accommodate the commercial and technical requirements for the cessation of the deduction next week to bring respite to consumers.
Currently, customers are charged the 9% CST instantly when they top up airtime.
Following the implementation of the CST, the Communications Ministry accused the mobile telecommunication companies of milking consumers over their upfront mode of charging.
“The Ghana Chamber of Telecommunications wishes to notify mobile and fixed subscribers that effective Tuesday 26th November 2019, Telecommunications Operators will cease upfront deductions of 9% CST charge and apply the tax through a tariff adjustment on their products and services. Following our agreement with the government to apply the 9% CST as a price increase instead of as an upfront deduction on recharge.”
“The reconfiguration of our systems to accommodate the commercial and technical requirements is due to be completed by the 26th of November 2019. This will offer customers a smooth transition and a better experience”, the statement said.
Subscribers will be notified of the completion of the exercise and for transparency on the adjusted tariffs of their products and services, as well as information on the post usage of these services.
“The telecommunications industry remains committed to the socio-economic development of Ghana, and that remains our focus and objective,” the statement concluded.