According to reports consumers will get 100 per cent credit on the recharge of all prepaid cards from midnight on Thursday. After 15 days Federal Board of Revenue (FBR) officials and representatives of mobile phone services providers will formulate new policy to resolve this issue permanently.
While heading a two-judge bench hearing a suo motu case regarding a huge taxes on pre-paid scratch cards at the top court’s Lahore Registry, Chief Justice of Pakistan (CJP) Justice Mian Saqib Nisar gave authorities two days to implement court orders.
“Taxes should be taken from users whose mobile phone usage is above the set limit,” Justice Nisar remarked during the hearing.
He further directed authorities to draft a comprehensive policy regarding deduction of taxes on mobile phone usage.
During the hearing, Justice Ijazul Ahsan remarked how the tax can be collected from a vendor who does not come under the tax net.
Replying to a question, the counsel for companies said that tax was deducted when the user subscribes a package.
To which, Justice Ahsan observed that Rs68 added to the user’s account when a Rs100 mobile phone card it topped up.
CJP Nisar remarked, “Mobile packages have tarnished our culture”.
Currently, the consumers are paying 42 percent tax, including 19.5 percent FED, 12.5 percent WHT and 10 percent service/ maintenance charges on every Rs.100 card.