Mobile users may get more talk time as govt proposes tax cuts
Mobile users could soon enjoy more talk time and internet data as the government considers reducing taxes on mobile services and digital infrastructure.
The Ministry of Information Technology has recommended a cut in the 15 percent advance tax charged on mobile cards and balance loads, as well as a reduction in the 19.5 percent General Sales Tax (GST) currently applied to mobile services.
According to the ministry, lowering these taxes would directly benefit consumers by increasing the value of mobile balance and data packages. Officials believe the move would also encourage greater use of digital services and help expand internet access across the country.
The proposal is part of broader budget recommendations aimed at strengthening Pakistan’s digital economy and improving connectivity. The ministry has also suggested reducing import duties on modern equipment used in broadband and internet services to support the rollout of faster internet networks.
In addition, special incentives have been proposed to lower the cost of installing fiber-optic networks and telecom towers. These measures are intended to make high-quality and affordable internet services available in remote and underserved areas.
The ministry has also emphasized the need to attract greater private-sector investment in the telecom and technology sectors. Under the proposed framework, investors in new telecom and digital infrastructure projects would receive tax incentives and other facilities.
Experts say the recommendations could accelerate digital transformation, improve internet penetration, and support economic growth by expanding access to online services, e-commerce, education, and digital innovation throughout Pakistan.