IT industry calls for policy continuity, tax relief to meet $25bn export goal

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LAHORE: Stakeholders from the IT industry have called for a continuation of existing tax policies to maintain domestic expansion and increase foreign exchange revenue, which aims to meet the federal budget of $ 2029 in 2029.

He called on the government to provide clarification about tax exemption for IT companies and withdraw unnecessary or new imposed tax. However, he welcomed the allocation of government funds for human resource development and skill training.

The senior vice -chairman of the P -Shaw Mohammed Umair Nizam said that the government should extend the final tax government (FTR) for IT companies and freelancers for the next 10 years, as was previously requested, so that foreign investment could be attracted and accelerated export growth.

He also demanded the elimination of 5 % tax (10 % for non -filers) on debit card transactions associated with foreign currency accounts, saying it consumed significantly in the income and profit of IT companies.

“The government should refrain from imposing taxes on e -commerce and online advertising, as such measures indirectly affect the IT business and have a negative impact on their margins,” he added.

P -Shaw also highlighted the urgent need to stop the ongoing brain drain by aligning local income tax policies with remote workers. However, the system noted that no meaningful steps have been taken to help local companies and exporters.

The convener of the IT Committee at the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) called on the government to allocate funds for local production of IT devices and accessories as part of a wider digital change move.

He pointed out that a significant portion of the government’s IT budget is spent on laptops, computers and components – foreign exchange flows. AFTAB recommends reducing taxes on desktop components to promote the local assembly and attract investment in the technology sector.

Naaman Ahmed said, Technophine and CEO of SI Global Soccer, noted that when the budget has made courageous claims about the support of the digital economy – Rs 29.9 billion for ICT development and Rs. This policy framework is weak.

He described the budget as “a digital push without a policy backbone”, and warning that the significant difference in the rules could eliminate the benefits of these investors. On a positive note, the continuation of training programs such as e -employment, Digicals, and National Free Lance Training Program (NFTP) has been recognized, which has already helped freelancers. He also welcomed steps like the Special Technology Zone (STZ) and the establishment of Pakistan Crepto Council.

Nevertheless, he warned that Pakistan’s “infrastructure first” approach was inadequate without auxiliary policies. “Only countries like India, Vietnam and Bangladesh are facilitating remote work and tech exports,” he said. In the meantime, Pakistan is investing in digital highways, which no one can afford to drive. “

He warned that “our policy makers should empower the infrastructure and align with viable policy with vision-or is the risk of losing our best abilities.” Stakeholders believe that the government’s permanent support is essential to maintain this pace and has a positive impact on the key economic indicators, including the balance of payments.