Global Mobile Tax Review 2011

This global tax benchmark reviewed the application of tax to the mobile sector for 111 countries. The report found that the average increase in tax, as a proportion of mobile usage costs, rose by over one per cent from 16.9 in 2007 to 18.0 per cent today, and that taxation as a proportion of the total cost of mobile ownership, increased from 17.4 per cent in 2007 to 18.1 per cent today. Some 63 countries levy mobile-specific taxation in addition to general sales taxes.

Regionally, Europe shows the highest average tax as a proportion of TCMO, with Turkey maintaining the top spot as mobile consumers pay nearly 50 per cent in taxes. Asian consumers generally pay the lowest tax as a proportion of mobile service ownership, due to relatively low VAT rates and limited mobile-specific taxation, however Pakistan ranks third with tax as a proportion of TCMO of 32 per cent, due to high fixed and variable taxes on mobile ownership and usage. Of the ten countries with the highest tax as a proportion of TCMO, five are African nations.