The curious tale of the “student letter”
North Cyprus has a communications tax policy which adds a tax to electronic equipment imported into the country. Things like phones, laptops et al. On the surface, this policy seems to make sense and adds additional revenue to the government….until you actually think about it.
This “tax” means that things like phones, laptops et al cost more to buy in North Cyprus than anywhere else. Also, International students are not exempt from the tax (This is yet another way the govt makes money from international students). Generally, most students would travel with their mobile devices from their home countries. This means nearly all students have to go through this process.
Upon arrival to North Cyprus (if you are lucky, you might be told); students have 30–45 days to “register” their phones otherwise face a phone line block. The registration fee varies depending on the type of phone you intend to register (so iphones et al cost far more than TECNO, for example).
But students will be told that if they have a “student letter”; that cost might come down. The catch here is: the “student letter” is not free. The universities charge students for it and it is only valid for 30 days after which the students need to pay again. Even the phone registration is only valid for one year.
Students already have a valid ID which show they are students at a university, they have their national passports for identity, they have valid resident permits (which indicates the student is fully registered in school) but none of these is accepted for phone registration or opening a bank account aside the student letter.
Related: A lot of banks in the TRNC are not interested in having international students as customers.
Also, the phone registration office will insist on a physical copy not a digital which means the university will charge the student more. Why do students need to pay for another “letter” that expires after 30 days to prove they are actually students? Do their studentship also expire after 30 days?
At the end of the day, by the time you add the cost of the “student letter” to the “discounted cost” of phone registration; you are not really getting a discount. It is nearly the same as doing it without a “student letter” and where you cant, you might as well resign to not having a phone, or at least a working phone number.
And why does the phone registration expire after one year even though students are typically enrolled in 2–8 yr programs? Does the phone expire? Why is the tax recurring? This policy, like many things in North Cyprus is very outdated, has lost its relevance and needs to be reformed.
The solution is simple:
There is already a brilliant process of acquiring the resident permit online such that the passport number automatically becomes the student number. This means that the number can be cross-referenced and accessed by several databases at the same time depending on the situation
Also, while I understand the government’s need to earn revenue via taxes, it is my personal opinion that taxes and other rent-seeking antics are the least efficient and innovative way for a government to earn revenue and grow the economy.
- If the students must pay for this tax, the resident permit can be made to completely replace the use of the student letter so that one a student has a valid student permit, he/she can access whatever service is in question at the time i.e; opening a bank account, healthcare, phone tax, visas etc etc. This eliminates the need and use for student letters.
- International students already contribute a lot to the economy in North Cyprus and a lot of them are likely to purchase new phones (which are already taxed) after they arrive in the country. Exempting international students from this tax shows the government as friendly and would spur growth in the higher education sector.
