Mobile phone companies to provide Rs100 load on all prepaid cards

ISLAMABAD: The cellular companies on the orders of apex court have decided to offer full Rs 100 balance on Rs 100 card for a period of 15 days, Newsone reported.

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According to details, the decision was made at a meeting between Federal Board of Revenue (FBR) officials and representatives of mobile phone services providers.

The decision will come in to effect from 12 am-midnight (Thursday). The Apec court of Pakistan would then be apprised of this policy for its approval.

It is pertinent to mention that voice calls, direct messages, mobile internet and other value-added services are exempted from all kinds of taxes.

Last month, Chief justice of Pakistan (CJP) Mian Saqib Nisar had taken notice of the high levy charged on mobile phone cards in the country as he asked under which law Rs40 were being deducted from Rs100 mobile cards.

The chief justice questioned as to why such a huge amount was deducted by the private mobile companies and under what tax heads. The CJP issued notices to all the mobile telephone operators in the country and summoned the attorney general over the issue.

At present, on the charge of a Rs100 pre-paid mobile card, a 19.5 percent Federal Excise Duty (FED) is charged along with 12.5 percent withholding tax and 10 percent service/maintenance charge.

According to statistics revealed by the Pakistan Telecommunication Authority in January this year, the number of mobile phone users stands at 144 million as compared to 142.5 million in October 2017.

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