SC was informed that following the suspension of tax collection, the provinces had incurred a loss of Rs90 billion
KARACHI: The Supreme Court (SC) recently restored all taxes charged by cellular service providers on mobile phone top-up cards. This means that mobile operators will once again start deducting a significant amount as part of taxes as was being done previously. While reading out the short order, Chief Justice of Pakistan (CJP) Justice Asif Saeed Khosa said that the SC would not interfere in matters of public revenue and tax collection, hence it would be closing the suo-motu case. After a period of 10 months, the SC withdrew the stay order it had issued on the 12th of June last year which had suspended all taxes on the mobile balance and calling cards.
The court was informed that following the suspension of tax collection, the provinces had incurred a loss of Rs90 billion in the form of tax recovery, hence the CJP decided to repeal the previous order. Telecommunication companies are now expected to deduct almost 40 per cent of the amount of the cards in the form of taxes. All citizens will bear the brunt of this, even the poor man who does not even qualify in the salary bracket to pay direct taxes. The relief that the masses were enjoying has now been taken away from them and they must now bear this added burden along with the rising inflation.
Asad Ali Khan
