Federal government has announced its decision to impose tax on mobile cellphone calls exceeding five minutes.
Federal Finance Minister – Shaukat Tarin made the announcement to impose tax on cellphone calls while addressing final session of debate on budget 2021-22 in National Assembly.
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Cellphone calls exceeding five minutes will be subjected to additional tax of 75 paisas, apprised the finance minister.
However, SMS and mobile internet will be exempted from any sort of taxes, he added.
Addressing the lower house of the parliament, Finance Minister Shaukat Tarin responded to the opposition’s recommendations and highlighted that the government has set its revenue generation target at Rs 5.8 trillion.
Shaukat Tarin also revealed that the government has abolished a total of 12 different withholding taxes.
Notable Features
- Rs 260 billion allocated for Ehsaas Programme
- Tax on 1,000 cc vehicles slashed
- Tax on gold, silver reduced to1-3% from the previous 17%
- Tax on milk, yogurt and other dairy products to be abolished
- No Tax Levied on wheat, byproducts
- Third party to conduct audit of tax evaders instead of FBR
- Abolishment of tax on medical devises
- Property tax reduced to 20%
- PSDP increased by 40% from Rs 630 billion to Rs 900 billion
- Rs 5 billion allocated for E-voting system
- US$ 1 billion allocated for procurement of COVID-19 vaccine
- Rs 100 billion loans to be given to SMEs
- Tax on poultry and textile products reduced to 10% each
- Tax relief for oil refineries
Furthermore, Shaukat Tarin noted that rural households will be given interest free loans of up to Rs 300,000 for the agriculture productivity besides Rs 200,000 for purchase of equipment.
Interest-free Rs 500,000 loans will be provided to each deserving household in the urban areas to start their businesses.
The government is also brining a new auto policy and ‘Meri Gari Scheme’, whereas incentives given to the export oriented industries will be continued during the next fiscal year. He said our aim is to enhance our export base by encouraging the exports in different sectors.
The Finance Minister also clarified that IMF has been duly notified of government’s decision against increasing tariffs pertaining to the power sector.
