IT & Telecom Industry to be Uplifted in the FY 2021 to 22

Federal Minister for Information Technology and Telecommunication Syed Amin-ul-Haque mentioned on Thursday to uplift the Digital Pakistan manoeuvre. The government has decided to accord major concessions to the IT & Telecom sector. By granting it the status of ‘industry’, with reduced taxes and duties.

Mr. Haque Highlighted in a press conference that various heavy taxes on telecom sector will reduce gradually. As per the decisions made by the federal cabinet earlier this week.

The cabinet has provided consent for the grant of the status of “industry” to the telecom sector for the next fiscal year 2021-22, while advance income tax on mobile phone users will be reduced from 12.5 percent to 10pc and will be gradually lowered to 8pc in FY23, he mentioned.

Therefore, Mr. Haque also mentioned that Pakistan Software Export Board (PSEB) has received 40pc additional export remittances in the first six months of the current fiscal year. Hence, “By the end of June this year, IT exports will also cross the target of $1bn,” he added.

Furthermore, 40 software technology parks have been set up in less developed areas. Which include Swat, Bannu, Quetta, Faisalabad, Karachi, and Sukkur under the public-private partnership, the minister added.