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FBR fights for 75-paisa tax over 5min calls in SC

SHC had said it was against the law

SAMAA | - Posted: Nov 29, 2021 | Last Updated: 2 months ago
Posted: Nov 29, 2021 | Last Updated: 2 months ago

The Federal Board of Revenue or FBR wants to charge a tax of 75 paisas on every phone call that runs over 5 minutes, and is fighting the case in court.

The Sindh High Court had declared on October 18 that such a tax would be against the Constitution. It said that the federal government had no authority to tax telecommunication services, which were a provincial government’s job according to the Constitution.

Now the FBR has gone to a higher court, the Supreme Court, to challenge the Sindh High Court’s judgement. It filed a petition asking the Supreme Court to say that the SHC’s verdict is null and void.

The FBR petition argues that 75 paisas after a 5 minute call comes under federal excise duty law. This was passed by parliament in the Finance Act 2021.

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