It seems to be a favour that Sindh Government provided relief to customers of telecom and internet services in the province while they announced tax deduction and exemption on services.
As it turns out, the Sindh govt again imposed old taxes few weeks later after gaining short-lived popularity through the press for its earlier step.
Sindh Board of Revenue (SRB) recently revealed another notification in which it not only withdrew exemption on internet taxes but also restored the GST on telecom services at 19.5 percent—at par with Punjab, KPK and Baluchistan.
GST tax rate has been restored on SMS, MMS, landline, changing of phone connection, installation of phone extension, cost of telephone set, even on dial-up internet service and prepaid calling card, and the list goes on and on. Only Apps downloads are not mentioned in the list because it is not under the control of the revenue collection authority.
The earlier notification briefed that taxes on internet services have been removed from monthly tariff of up to Rs. 1,500 for 2MB connections and up to Rs 2,500 for above 2MB and below 4MB speeds.