Budget 2024-25: Telecom companies oppose deduction of 75% tax on mobile balance

ISLAMABAD – Telecom companies have opposed a budgetary proposal of deducting 75 percent in wake of tax on mobile phone balance by consumers, who are non-filers.

They raised their concerns in a meeting of the Senate Standing Committee on Finance chaired by Senator Saleem Mandviwala.

They complained that the government was trying to put the burden of its work on the telecom companies, adding that the task being assigned to them is actually the job of the law enforcement agencies.  

“If we fail to comply with the task, we could face penalties ranging from Rs100 to 200 million,” they said while calling it injustice.

They said the companies were being asked to cut 75% tax on mobile balance of non-filers, adding that “this is not our job and nor were we consulted”.

The companies said that foreign investors have also expressed concerns on the proposal laid forth by the government in Budget 2024-25.

Speaking on the occasion, Senator Mohsin Aziz called for resolving the issues of the telecom sector, adding that the points raised by the telecos representatives are valid.

On June 12, the federal government unveiled the budget for next fiscal year, proposing various taxes on non-filers.