Pakistan Software Export Board will work on making grounds for getting IT industry an extension in tax exemption that it currently enjoys on IT exports.
Tax holiday on IT export is set to expire in June 2016.
Board of PSEB, during a board meeting earlier today, directed MD PSEB to prepare a summary for tax exemption on IT exports beyond June 2016, to motivate IT companies to remit more of their earnings to Pakistan instead of relocating to another country and keeping their earnings abroad.
The meeting was chaired by Mrs. Anusha Rehman, Minister of State for IT. Federal Secretary IT Mr. Azmat Ali Ranjha, Chairman P@SHA, Mr. Syed Ahmed, MD PSEB, Mr. Asim Shahryar Husain, and representatives from Ministry of Finance and TDAP were also present in the Meeting.
Mrs. Anusha Rehman while chairing 32nd BODs meeting of Pakistan Software Export Board here in Islamabad today
MD PSEB informed the board that PSEB has launched a new counseling center to guide and mentor IT startups and SMEs as well as IT graduates and also placed Contact information for counseling center on PSEB’s website.
He also apprised the board that five IT companies will be participating with PSEB in the upcoming Mobile World Congress in Barcelona where these companies will showcase their expertise in mobile applications and other IT services.
The Board was also updated that interim report of feasibility study regarding establishment of first IT park in Islamabad, has been submitted by Korean consultants and that final feasibility will be submitted by March.
The Minister said that after approval of this project by ECNEC, ground breaking ceremony of IT Park will be scheduled in summer of 2016.
While talking about the CMMI training and certification program, Minister shared with the Board that the PC-1 had been approved by Ministry of Planning under which 5 local CMMI auditors will be trained and certified.
She said that it will be cost effective to use these local auditors for CMMI certification instead of using foreign auditors which are very expensive.
The Minister said that we are offering 3000 ICT internships by summer of this year. IT graduates will take NTS test first and in first phase, top 1500 of them will be placed in IT companies and IT departments of non-IT companies. Second phase will involve placement of another 1500 interns. The goal is to create jobs for IT graduates through these internships.
The Minister further said that we had launched the Digital Pakistan concept last year and directed PSEB to collaborate with P@SHA to organize conferences on Digital Pakistan in Islamabad where all of the major stakeholders in the IT industry including CEOs and different ministries and industries to be invited.
What tax holiday? Arent IT companies paying sales taxes, minimum tax and other taxes based on their revenue?
And guess what, we were done with the news in the first paragraph, the rest is just ‘ministerial’ bulls**t.
Enough of Tax holiday I think. We need to expand the tax base and given that, such holidays and exemptions should be taken away. Everyone should pay Income Tax. There are a number of other sectors who are bringing in FDI (or foriegn exchange for that matter) in to the country and yet they are paying all taxes. So, why shouldn’t the IT industry? Its not in its infancy anymore…