ISLAMABAD: After strong reaction from public, the federal government on Saturday decided to withdraw the taxes proposed on different mobile phone services including calls exceeding three minutes, SMS and internet.
The taxes have been withdrawn just a day after its announcement in the Federal Budget 2021-22. The government had proposed to levy Rs1 federal excise duty on each call longer than three minutes, Rs0.1 on each SMS and Rs5 on each GB of internet data, in a bid to “reap reasonable revenue from the cellular phone companies”.
In a post-budget presser, Finance Minister Shaukat Tarin said the federal cabinet did not approve the proposal to enhance charges on SMS, mobile phone calls and internet.
Federal Minister for Energy had also said that the prime minister and federal cabinet did not approve the FED levy on internet data usage. “It will not be included in the final draft of the Finance Bill (budget) that is placed before parliament for approval,” he had said, in a tweet, hours after the budget was presented.
The Pakistan Tehreek-e-Insaf (PTI) government on Friday presented the Federal Budget 2021 with total outlay of Rs 8,487 billion for the fiscal year 2021-22.
Finance Minister Shaukat Tarin presented the budget in the National Assembly, amid protest by the opposition parties.