Mobile phone is no more a luxury item, rather a necessity these days. Currently, there are more than 100 million cellular subscribers in the country, suggesting that roughly 60 out of every 100 persons using the service belong to middle and lower income cadre of society. The mobile phone service is more than a means of communication for the job-seeking labour, skilled and semi-skilled workers, who secure and execute temporary professional work to earn their living.
Besides, mobile service is a proven means of mediating opportunity, capability, security and empowerment to those at the "bottom of the pyramid", which can help alleviate poverty. But the government seems to have different ideas. It has increased sales tax on mobile phone services to 19.5%. In addition, withholding tax @ 11.5% is charged, with break-up of 10% advance tax plus 15% surcharge on it. When a poor person buys a prepaid card of Rs 100, it is worth Rs 84 only. In the wake of continuous and regular increase in prices of the POL products which has a multiplier effect on prices of all basic commodities, this additional burden is rather outrageous. Under the given economic conditions, sustaining oneself is becoming an extremely difficult proposition for the poor and middle class. But then, who cares in the government?
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