The Ministry of Information Technology has proposed tax relief measures for mobile phone users in the upcoming fiscal year budget, recommending reductions in both the 15 percent advance tax and the 19.5 percent General Sales Tax (GST).
The proposals have been submitted to the Ministry of Finance as part of a broader strategy to support the growth of Pakistan’s telecommunications sector.
According to Ministry of IT officials, the government should gradually reduce the taxes currently imposed on telecom consumers to make mobile and internet services more affordable. The recommendations are intended to increase digital inclusion and encourage wider access to communication services across the country.
The ministry has also proposed lowering duties on broadband equipment and related infrastructure. Officials believe that reducing the cost of digital infrastructure will help telecom companies expand their networks more efficiently and improve service quality for consumers.
In addition, the proposals call for greater private-sector investment in new telecommunications projects. Ministry officials have recommended creating more opportunities for private investors while reducing reliance on public funds, a move aimed at accelerating the development of the digital economy.
Officials said the overall objective of the budget recommendations is to enhance digital connectivity and support the government’s Digital Pakistan vision.
The telecom sector had previously requested tax relief in the 2026–27 budget and urged the government to reduce taxes to encourage growth, investment, and broader digital access.
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simply barking.