Long distance interconnectivity: Collection of new tax stayed

LAHORE: The Lahore High Court on Tuesday restrained the Pakistan Telecommunication Authority (PTA) from collecting tax from long distance interconnectivity (LDI) operators. Justice Shujat Ali Khan issued the order on a petition of four operators including Circlenet Communications Pakistan (pvt) Ltd, Dancom Pakistan (Pvt) Ltd and Multinet Pakistan (Pvt) Ltd, through Advocate Irfan Akram Mian. The petitioners said that PTA had already imposed unnecessary taxes on calling services. They said that PTA had now decided to levy more taxes on service providers which, they said, was unlawful. They said for improvement in the services, they had been paying money for Universal Services Fund for several years, but there has been no improvement. They said, the PTA was still regularly charging them for the fund. They requested the court to issue a stay order against the levy of new taxes. Justice Khan recorded the initial arguments and sought replies from the PTA and the federal government. The office of the registrar at the LHC will fix the next date of hearing.

Published in The Express Tribune, August 1^st, 2012.