Prepaid mobile cards: Pakistan govt proposes tax rate to whopping 75% for non-filers

The PML-N-led alliance government has introduced a proposal to raise mobile phone call rates for non-filers in Pakistan as part of its federal budget, presented by Finance Minister Muhammad Aurangzeb in Parliament. The aim is to expand the tax base through stringent policies.

Under the proposal, a 75% tax would be imposed on call rates for non-filers and non-active taxpayers, effective July 2024, if approved. This measure seeks to encourage more individuals to become tax-compliant.

Additionally, the budget includes a 33% increase in the levy on gasoline and diesel, along with an 18% sales tax on mobile phones. Import duties on luxury cars and certain goods are also set to rise.

With a total outlay of Rs18 trillion, the budget emphasizes economic revival, allocating a 101% increase in the development budget to prioritize ongoing projects and spur growth.

If implemented, these measures aim to strengthen Pakistan’s fiscal framework and boost revenue generation for national development initiatives.