Go, Melita and Vodafone have all raised the excise tax on prepaid mobile phone services from three per cent to four per cent. Redtouch Fone has decided to absorb the increase itself, rather than pass it on to its customers. The 2015 Budget raised the tax on mobile services with effect from January 1, but as from March 1, it was also applied to prepaid.

Go said that the increase will be passed on to its Pay As You Go customers, adding that it remained committed to investing its resources in network improvements and in products and services “which offer substantial value to its customers”.

Vodafone also increased the tax for its prepaid customers.

“Although the top-up denominations will not change, an amount equivalent to four per cent of the top-up value will be deducted from the customer’s credit upon top-up. Customers were notified of this change earlier this year and further reminders and notifications will be sent,” it said.

Melita also confirmed that the prepaid customers’ excise tax recharge was applied on usage rate.

“Melita customers also benefit from various unlimited free call packages to other Melita numbers, to preferred numbers or to all other operators hence limiting the overall impact of excise tax,” the company said.