Supreme Court in another decision restores tax on mobile top ups

Supreme Court in another decision restores tax on mobile top ups
Supreme Court in another decision restores tax on mobile top ups

So people we have some bad news for you today, it has been revealed that the Supreme Court of Pakistan has once again imposed taxes on the mobile network cards that we purchase. It should be noted that it was during the reign of CJP Saqib Nisar that it was ordered that cell phone companies are to a lot consumers with exactly the same amount of credit as the amount they pay for, so 100rs = 100 credit. Well we are going back to the good old days people.Moving on, a three-member bench chaired by the current Chief Justice of Pakistan, Asif Saeed Khosaheard the case on the application of taxes on mobile phone cards. In addition to that three man bench, there was also the presence of  Justice Azmat Saeed and Justice QaziFaez Isa, in the court.

Now as per the reports, the Supreme court have in turn withdrawn their previous stay order which was issued back in, June 2018, in thisthe court ordered to abolish all taxes on mobile top-ups.Now the latest development means that network consumers will not receive full balance for their recharges.Now if we go back in time, before the inevitableorder from former CJP, the cellular companies were charging the consumers somewhere in between Rs 35andRs. 40 on Rs. 100 cards. According to reports it is revealed that the total deduction amount included a 19.5 percent Federal Excise Duty (FED) along with 12.5 percent withholding tax and 10 percent service/maintenance charge on every card of Rs. 100.


Furthermore, this marked as an important hearing as this was attended by the Attorney Generals from all of the 4 provinces and in turn it was agreed that the tax suspension had cost huge losses to the provinces in terms of revenue generation which was a growing cause of concern for the country. The apex court was informed that in the last 9 months, provinces have borne losses of more thanRs. 90 billion due to the tax abolition on mobile phone networking cards.

There was a debate in the courtroom on whether matters related to taxes could be heard under Article 184-3 and well it seems there are no issues there hence the Chief Justice, Justice Azmat Saeed Khosa read out a quick verdict maintaining that the top court will refrain from interfering in matters related to taxation and well the taxes are back my fellow citizens.


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