Jordan: Tax Increase on Mobile Phone Use under Consideration

Analysis

The Jordanian government is considering increasing the mobile phone services tax by 2-4% from the current rate of 12% to increase government revenue. The implications of any increase on the domestic telecommunication market are being reviewed

The government has asked the relevant bodies to discuss the tax with the private sector to establish potential implications on each and every concerned party.

Jordanian mobile phone taxes are already amongst the highest in the world as they consist of a:

- 16% tax on all items sold;

- special 12% tax on the use of mobile phone services; and

- 8% tax on handsets.

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