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Safaricom Customers To Pay More For Calls After 20% Excise Tax

BY Juma · July 8, 2021 08:07 am

KEY POINTS

Safaricom says that the cost of all Fibre to the Home (FTTH) and Fibre to the Business (FTTB) plans have also been revised in line with the new Excise Duty.

Following the Government’s move to adjust Excise Duty on Airtime and Telephone Services to 20 percent from 15 percent effective 1st July 2021, Kenya’s telecommunications giant, Safaricom, has moved to review their product and service pricing to reflect this change.

This means that Kenyans will have to pay more for making calls for ‘Big Brother’ to get his taxes. This will hit hard on Kenyans how pockets have already been raided by the hard economic times as a result of the Covid-19 pandemic.

According to Safaricom, all out-of-bundle voice calls, data, and SMS as well as integrated plans including All-In-One will be revised to reflect the increased Excise Duty. Kenyans will have to pay more for these services.

Those who use data bundles from Safaricom, however, have everything to smile about after the prices were retained. The giant said “all our consumer data bundle prices remain unchanged (No-Expiry bundles, daily bundles, weekly bundles, monthly bundles, and Giga bundles).

Read More: 20% Excise Tax On Bank Loans Removed By Yatani

At the same time, roaming and international calling and SMS rates have been revised to reflect the 20 percent Excise Duty. This is the first time in a long time that the government of Kenya is raiding Kenya’s pockets by going after the calls and SMSs.

Safaricom says that the cost of all Fibre to the Home (FTTH) and Fibre to the Business (FTTB) plans have also been revised in line with the new Excise Duty.

Pricing for all Personal Postpaid including Karibu PostPay and all Corporate Postpaid products and services including Zidisha Plus, Cloud, Security, Collocation, and IoT have been revised accordingly. This shall be reflected in
the next monthly invoice.

Read More: Kenyans to Pay More for Calls and Internet if Proposed Bill Passes

“This being a consumption tax, the burden, unfortunately, has to be absorbed by customers,” Peter Ndegwa, the Safaricom CEO, said.

Juma is an enthusiastic journalist who believes that journalism has power to change the world either negatively or positively depending on how one uses it. (020) 528 0222 or Email: info@sokodirectory.com

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