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  • Consumers push DOTC, BIR
    in refund bid for texting fees
     
    By Lenie Lectura
    Reporter

    CONSUMER group TXTPower has urged the Department of Transportation and Communications (DOTC) and the Bureau of Internal Revenue (BIR) to work together and find a way to refund consumers for the text- messaging fees imposed by mobile- phone firms.

    In a statement, TXTPower said it supports a call by Transportation Secretary Leandro Mendoza and several members of Congress who want to abolish the SMS (short message service) fees, currently pegged at P1 each.

    “We hope the DOTC secretary has ordered his staff to calculate how much the telcos owe consumers since they started charging for text messaging. All these illegal charges must be refunded. The refunds should also cover the VAT [value-added tax] illegally levied on text messaging, not just the illegal telco charges,” said TXTPower.

    It added that the National Telecommunications Commission (NTC) and the BIR should work together to find out the “quickest and most fair way of undertaking a refund” of the alleged illegal charges.

    “We have long argued that text messaging is a built-in service of the GSM (global system for mobile communications) standard used by telcos and should, thus, be provided for free but government refuses to listen. We are thus surprised by the sudden turnaround of the DOTC secretary and members of Congress. We expect them to uphold the law regarding franchises and to correct their oversight that allowed the telcos to fleece consumers up to now,” said TXTPower.

    Over the weekend, Catanduanes Rep. Joseph Santiago, chairman of the Committee on Information and Communications Technology, called for the amendment of Republic Act 7925, or the Public Telecommunications Policy Act of 1995.

    Specifically, Santiago cited the removal of the 12-percent limit on the phone firms’ income and the 3-percent franchise tax on gross receipts. He said these provisions should be restored. If the telcos exceed the cap, Santiago said the National Telecommunications Commission (NTC) could order the telcos to lower the fees they charge consumers.

    Meanwhile, phone firms are mum on the proposals to abolish text-messaging fees and have their franchises reviewed by Congress.

    Ray Espinosa, Philippine Long Distance Telephone Co. (PLDT) Group head for regulatory affairs and policy, said the phone giant is authorized to offer text messaging service and impose charges, as well.

    “The provision of SMS [short-message service] is well within the legal authority of Smart and Piltel. We would defer making any further comment until we see the result of the DOTC study,” said Espinosa.

    NTC director Edgardo Cabarios, meanwhile, refused to comment, saying Mendoza’s statement is a “policy matter.”

    “Only the commissioners can comment on that. It is hard to comment on something that has to do with policy matters. What NTC can only do is…comply with policy directions,” Cabarios added.

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