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DIGICEL offers relief


Marlon Madden

Telecommunications company Digicel has announced that it will be absorbing the contentious 4.5 per cent cell phone Value Added Tax (VAT) imposed by the Freundel Stuart administration on January 1 this year.

Digicel’s regional chief executive officer Paul Osborne delivered the news today at a press conference at the company’s Warren’s headquarters.

“The people of Barbados deserve to start this historical year off on a celebratory note and as such Digicel is delighted to announce that we will not be passing the VAT increase of 4.5 per cent on mobile services to all of our prepaid plans, our postpaid smart plans and our business customers,” he said.


Digicel’s regional chief executive officer Paul Osborne

He said the company would be fully complying with paying the 22 per cent VAT to the government, which could be in excess of $1 million annually.

“Digicel absolutely applauds the government’s education initiatives and its objectives and we will continue to be in full compliance with all its tax regulations but as such Digicel will be absorbing the new tax increase and while our customers will not be out of pocket, Digicel will continue to pay all its taxes over to government at the new increased rate.

In excess of 100, 000 current customers could benefit from the move.


15 Responses to DIGICEL offers relief

  1. Kelly Scantlebury
    Kelly Scantlebury January 7, 2016 at 5:33 pm

    I commend digicel

  2. Cherylann Bourne-Hayes
    Cherylann Bourne-Hayes January 7, 2016 at 5:37 pm

    Wow. 🙂

  3. John Herbert
    John Herbert January 7, 2016 at 5:39 pm


  4. Deepak Thani
    Deepak Thani January 7, 2016 at 5:40 pm


  5. Veroniva Boyce
    Veroniva Boyce January 7, 2016 at 5:41 pm

    There’s always a catch 22. Just hope it doesn’t affect Job security.

  6. Veroniva Boyce
    Veroniva Boyce January 7, 2016 at 5:43 pm
  7. Yarde Sherwin
    Yarde Sherwin January 7, 2016 at 5:48 pm

    Eventually mobile users will be paying that tax and will not even realize it…

  8. Olutoye Walrond
    Olutoye Walrond January 7, 2016 at 7:47 pm

    How do you know Flow wont do the same?

  9. J. Payne January 7, 2016 at 8:33 pm

    I.M.H.O. things looking bleak for Digicel…… I was looking at the financials for LibertyGlobal. The percentage of marketshare they collect from Latin America and the Caribbean should be criminal or a matter of antitrust. I doubt the E.U. where they are heavy players would allow them to own as high a percentage of the market.

  10. Mhizz Thicky Sweets
    Mhizz Thicky Sweets January 7, 2016 at 8:46 pm

    Olutoye Walrond they already sent out a notice to customers about the price change to expect in their bills and plans

  11. jrsmith January 8, 2016 at 7:03 am

    How part of the cartel, agree on paying , the government a increase vat bill , when the government itself cannot define why and what the increase is for….just another tax rip off…

  12. Ceejay January 8, 2016 at 10:45 am


  13. Tony Waterman January 8, 2016 at 6:07 pm

    @Paul Osborne!!!!!! aye aye aye man, Please use some Lubricant, you and i know very well that the Government of Barbados is being SCREWED. that tax absorption is DEEPLY embedded in that 2.??? million WAN just signed onto with you, let’s get a FORENSIC Accountant go over that Contract, and they WILL find where it is embedded.


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