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Tax on mobile phones planned 01.04.08

MOBILE phone owners will soon have to pay an annual phone tax of between €20 and €50 or risk having their service withdrawn, it emerged yesterday.
The controversial plan has been developed in an effort to help cash strapped councils across the country raise extra revenue and stop them from continuously seeking extra cash from the government.

While the government seems to have ruled out moves like the proposal by Donegal County Council to tax holiday homes, it is understood they have fully backed this idea as a major money-spinner for local councils.
The government official behind the plan, Joe King of the Telecommunications Department, said the move will raise thousands of euro in extra revenue for councils all over the country.
“It’s a brilliant plan and when you realise there are more mobile phones than there are people in Ireland now, it’s going to raise a fortune,” he said.
And he maintained that since phone users were among the biggest users of council services, it was only right that they pay their way.
In recent years a government tax was imposed on credit cards, which is taken at source in the billing process and it is believed the scheme to tax mobile phone users will work in a similar way.
“We understand there are different types of phones and some people have bill pay phones and some people have pay as you go phones, so we’re working with an Asian mobile technology expert to come up with a system to ensure than everyone pays.”
That expert - We Fu You – is expected to propose the collection of the tax on the bills of those with contracts, while those on pay as you go will see their payment made by having their credit eaten until they have paid their full amount.
However the consumer watchdogs have already been alerted to the proposal and are expected to oppose the move.
Their spokesperson - Shirley Ujest - says the proposal will meet with strong resistance.
“This will get a bad reception from whole networks of people we know and while it might seem like a good idea because these people all have phones, the government should remember most of them have votes too!”
The lobby group meanwhile insists that even if this plan was devised by Joe King, the real problem lies at the head of the department where they have been seeking change for several months.
“We have been lobbying for this change for ages and we really need the foresight at the top of someone like Sarah Notherway instead of that one track approach always adopted by Ann Orbill.” (Tall story: Inishowen Independent)
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