Govt. of Pakistan has imposed 14% Internet Tax and will be collected form July, 2015. This tax is flatly imposed on all internet services by the Government of Pakistan. The internet industry will suffer by this tax which will hamper the growth of the industry.
The internet users have shown a negative response on the imposition of this tax in the Federal Budget 2015. Today, WiTribe informed the users through an email that:
“In accordance with the Federal Budget 2015, the Government of Pakistan has applied 14 % Advance Income Tax on all internet services. This change will be applicable from July 2015 and will reflect in the invoice you receive on 1st August, 2015.”
The tax will be applicable on the line rent.
It is noteworthy to mention here that the Provincial Government of Punjab planned to impose the same tax but withdrew the same after receiving sever criticism from the public. However, now the tax will be imposed everywhere in Pakistan.
Jehan Ara, the president at P@SHA, is also opposed the tax on internet as well as Badar Khushnood (Ex Google Employee) now working in Bramerz has shown his reaction by sharing the details of taxes by writing #GoNawazGo!.
Overall, this tax will pose a set back to the internet industry of Pakistan.