Govt Should be Collecting More Taxes from Telcos: DG FBR

While briefing the Senate Committee, Mehmood Aslam, Director General Withholding Federal Board of revenue (FBR) revealed that according to Advanced data analysis, government should be collecting more taxes from telecom companies. Govt Should be Collecting More Taxes from Telcos: DG FBR.

He also told that FBR has devised a IT based mechanism for improving revenue collection from cellular mobile operators. He further communicated that the new system will allows government to plug loopholes in the existing tax collection system from operators.

Govt Should be Collecting More Taxes from Telcos: DG FBR

Previously FBR reported that mobile phone operators overcharged subscribers and deduct more taxes while pay minimum taxes to the government. Few days back, a meeting of senate standing committee on Finance enlightened the capacity constraints of FBR. When committee inquired FBR for update of audit of telecom companies, it was revealed that  FBR don’t have capacity to analyse transaction wise data of withholding taxes collected by telecommunication companies.

Now FBR designed a new software for collecting biweekly data from telecom operators. While telling about the system, Mr Aslam said that:

“However, there are certain new areas in which the FBR feels telecom companies have not paid additional taxes. It could be that the operators may have exemption certificates. We have asked operators to explain their position,

Responding to these contentions, Telenor’s Chief Corporate Officer Kamal Ahmad claimed that all operators are law abiding corporate entities and carry out all operations in strict accordance with the local laws and fulfill obligations while upholding the highest standards of corporate ethics and integrity.

Telecom operators have created around 14,000 employment opportunities and around thousands of outsource jobs. From 2004 to 2017, telecom industry has invested $15 billion in Pakistan. In 2016-17 that industry has injected $635 million. After banks, energy and agriculture sectors, telecom industry is the fourth most heavily taxed sector in the country.

Also Read: FBR to Introduce a Mechanism for Tax Collection from Telecom Operators

Fizza Atique

Fizza Atique is a Tech writer specializing in the intersection of tech and culture. She likes photography, VR, electronic music, coffee, and baking.
>
Close

Adblock Detected

Please consider supporting us by disabling your ad blocker