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Budget 2021-2022: Government relieves tax on data usage

Budget 2021-2022: Tarin's speech made government relieve tax on data usage

The financial account recommends that if the duration exceeds three minutes, 1 Rs will be charged per call, 5 rupees per GB used on the Internet, and 10 Paise per SMS added to the existing tariff.

The public reported that consumer taxation was increasing, users began to criticize the government on social media, and many even claimed on Twitter that the prime minister:

“the budget killed the prime minister’s digital Pakistan.”

To increase the prices of the Internet, phone calls, and text messages, Energy Minister Hammad Azhar refused to impose additional tariffs on telecommunications and data usage.

It will not be included in the final draft of the fiscal (budget) law to be submitted to Parliament for approval. The receipt of the document was an error because the cabinet did not approve it.

He explained that there is no data usage tax. However, many people remain critical and worried. Jazz CEO Amir Ibrahim said in a tweet that additional taxes on the Internet are hurting “digital Pakistan.”

However, he praised Treasury Secretary Shaukat Tareen for cutting the Fed’s interest rate from 17% to 16%, which is the standard rate for all sectors.

Budget 2021-2022: Tarin's speech made government relieve tax on data usage

Image Credit: DAWN

In his budget, Tarin announced the simplification of federal excise taxes for the telecommunications sector. At the same time, senior telecommunications officials said that the telecommunications industry would respond to budget measures on Saturday.

The world has adopted social distancing measures, and most activities, including grocery shopping, education, and even physical examinations, have been launched; a person in charge of a telecommunications company said that the increase in Internet tariffs would harm the entire society.

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A senior Internet Service Provider (ISP) official stated that Pakistan is at 90th in the world and 2nd last in Asia in terms of Internet involvement.

“If the government wants Pakistan to be the last one, it is reasonable to increase tariffs and taxes on the Internet and mobile phones,” the official added, adding that Pakistani consumers have already paid exorbitant data usage fees and liabilities due to high taxes.

Budget 2021-2022: Tarin's speech made government relieve tax on data usage

Image Credit: DAWN News

OVERVIEW:

The public reported that consumer taxation was increasing, users began to criticize the government on social media, and many even claimed on Twitter that the prime minister: “the budget killed the prime minister’s digital plan in Pakistan”. To increase the prices of the Internet, phone calls, and text messages, Energy Minister Hammad Azhar refused to impose additional tariffs on telecommunications and data usage. At the same time, senior telecommunications officials said that the telecommunications industry would respond to budget measures on Saturday.

 

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