Pakistan News

Tax on Mobile Phone Cards: Users to receive Rs76.94 on mobile phone top-up card

KARACHI: As per reports, mobile phone users will now receive only Rs76.94 on the top up of Rs100.

 

According to the details, a holding tax of Rs11.11 and an administration charge of Rs10 will be charged on the Rs100 mobile phone recharge card.

 

Rs.1.95 GST will be charged on administration charges whereas 19.5% GST will be applied on every call. GST Rs12.56 will be deducted from now on.

 

All taxes withheld earlier by Supreme Court of Pakistan on June 12, 2018 now ordered to be restored. Hence all taxes will now be applicable as it used to be.

 

Former CJP Justice (retd) Saqib Nisar in the SC took suo motu notice and ordered suspension in tax collection on top-up cards of mobile phone.

 

A three-member bench of the SC headed by Chief Justice Asif Saeed Khan Khosa gave a verdict on the revised deal on April 24 that the SC will not intervene in public revenue and tax collection matters pertaining to advance tax on mobile phone top-up card case..

 

During the hearing of the appeal, the court remarked that tax have been collected from millions of people who are ineligible to pay it.

 

Justice Qazi Faez Isa asked that whether the SC had taken notice on the reasons of suo moto and concerned authorities were asked to explain? The Chief Justice replied that now it is not possible for the court to proceed to the start up.

 

Tax collection on card might help generate Rs 7.5 billion a month.

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