How much tax will be deducted on your next mobile card recharge?
Chief Justice Supreme Court of Pakistan restores all taxes on phones on Wednesday by declaring that it is the matter of revenue department. By releasing a short decision, he added that court cannot intervene in the matter of public tax collection and revenue propositions. Earlier this year, previous chief justice of Pakistan had taken notice on mobile top ups card tax revenue and suspended the tax federal government was receiving from telecom top up card sector.
Although this step gave a pleasant blow to Pakistani people who took this step as a blessing, but on the other hand, federal government had to suffer a loss of almost 90 billion (PTA resources) rupees in the terms of less tax collection as this figure was visible in recent FBR revenue tax directory collection.
How much tax govt has applied on prepaid cards?
The tax structure on mobile phone cards is:
- The government collects 17% to 19.5% as FED
- 5% as withholding tax
- Rate of sales tax in Federal is 17%
How much tax will be deducted on 100 rupee card?
Rs25 will be deducted on every Rs100 card