Egypt tax chief denies telecom hikes

Egyptian top-up card retailers have increased their prices Head of Egyptian Tax Authority, Mamdouh Omar, has denied that the 15 percent tax on mobile phone bills and top-up cards has been increased. In a statement released by the authority, Omar said that the price hike experienced by consumers was due "internal decisions" made by telecom companies and "has nothing to do with taxes."
He added that mobile phone sales tax is "clearly shown" on monthly bills. As for top-up card users, Omar said the country's three mobile phone service providers sell these cards to their clients via intermediaries at a price "inclusive of tax."
Omar also rubbished reports published by some news websites of "differences" between the Tax Authority and telecom companies over sales tax. The reports also claimed that the revoked tax-hike package has been brought into effect. Omar confirmed that the package, which included a limited hike in mobile phone tax, remains fully frozen.
Egyptian retailers increased the prices of top-up cards yesterday, leaving consumers frustrated.