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Chief Justice of Pakistan (CJP) Justice Saqib Nisar has taken notice of high level of taxes charged on the mobile cards in the country.

He took sou moto notice of 40% tax deducted from Rs. 100 mobile card across all cellular networks in Pakistan. Expressing his wonder on the tax deduction, Justice Saqib asked why such a huge amount is being deducted by the private telecom companies and under what tax heads.

The Supreme Court has issued notices to all the telecom operators in the country and has also summoned the Attorney general on this issue. Reportedly, the apex court will take up the issue on Tuesday next week.

Every time a telecom user loads Rs. 100 card, he or she pays 19.5 percent federal excise duty, 12.5 percent withholding tax, and 10 percent service charges irrespective of the fact whether they fall under the taxable bracket or not. The mobile phone user only gets airtime for Rs. 66.5 after tax deduction on every Rs. 100 mobile card loaded into a cell phone.

Yesterday, this issue also arose during the meeting of the Senate Committee on Finance, Revenue, and Economic Affairs but like many other times, no actionable input was presented for the Pakistani mobile phone users.


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