The Senate Standing Committee on Finance chaired by Salim Mandviwala met to resolve the concerns of telecommunication companies regarding the new fiscal measures introduced by the federal government.
At the meeting, representatives of the telecommunications industry protested the session, citing an excessive burden on them without prior consultation.
Focusing on communications, representatives of the telecommunications industry criticized the government’s decision to punish those who do not provide filters. They argued that this responsibility was imposed on them without consent or participation in the decision-making process.
Lawmakers have voiced their displeasure over new government guidelines that call for a 75% tax on phone and internet services for non-filterers. They criticized the imposition of fines ranging from 100 million to 200 million for non-compliance with the mandate, calling the punishment illegal and unfair.
“We are not a law enforcement agency,” said a representative of the telecommunications industry, saying that such measures go beyond their mandatory role and are implemented without prior consultation.
Federal Board of Revenue (FBR) Chairman Amjad Zubair Tiwana defended the government’s stance and confirmed that the rules were passed in the Finance Bill 2022 and approved by Parliament.
He warned that telecom companies will be required to comply with the new guidelines within 15 days, with severe penalties for non-compliance.
The controversy caught the attention of Senator Farooq H Naik, who criticized the nature of the punishment measure, calling it unfair and akin to “jungle law”.
The controversial issue has raised attention among foreign investors in the telecommunications sector, who fear the economic consequences of such strict regulations.
As negotiations continue, the telecom industry remains determined to seek more cooperation from the government to ease labor woes.
