Cellular Mobile Companies have sought a reduction in withholding tax on essential telecom services to eight percent as it is important for digital Pakistan.
During a meeting with the Federal Minister for Finance and Revenue, Miftah Ismail, a delegation of the telecom sector comprising CEO-Jazz, Aamir Ibrahim, and CEO Telenor Pakistan Irfan Wahab Khan said to have requested the Finance Ministry in this regard.
Federal Minister for IT and Telecommunication Syed Aminul Haq, Chairman PTA, Chairman Federal Board of Revenue (FBR), and other senior officers also attended the meeting.
The delegation briefed the finance minister on the contribution of the IT sector to the economic development of Pakistan. It was shared that currently, the IT and Telecommunication sector is facing various issues including a serious challenge of profitability.
In the same view, the delegation requested for reduction in taxation. On items that hardly fall under the purview of luxury goods. They also shared that the growth of IT and Telecommunication not only contribute to:
- Increasing the exports but also;
- The overall growth of GDP
The finance minister acknowledged the role of IT and Telecommunication in the overall economic development of the country.
Moreover, the finance minister assured the delegation of all possible support regarding taxation issues. And he emphasized making a greater contribution to the enhancement of IT and Telecom-related exports. The delegation thanked the finance minister for his support and cooperation.