In order to expose those who allowed tax exemption to telecom companies, the National Assembly’s standing committee summoned ex-chairman FBR Mumtaz Haider Rizvi, the FBR chairman and ex-member admin Raza Baqir at its next meeting. A meeting of the National Assembly’s sub-committee on information technology was held under the chair of Anusha Rehman here on Wednesday to investigate the tax evasion of Rs 47 billion by cellular companies.  During the meeting, the committee expressed concern over the performance of large taxpayers unit (LTU) earlier on July 27 tightening grip on telecom companies and later on July 30.
The committee said that if telecom operators were not bound to pay tax on interconnection charges, why the FBR raised the issue and sealed the office of the telecom company, harassing the largest tax paying sector of the country.
Ejaz Shah, member, Inland Revenue of the FBR, apologised from the committee over his act to restrict the officials of the FBR from participating in the meeting.
Inland Revenue Member FBR Ejaz Shah also informed the committee that telecom companies do not disclose complete information about their earnings and hide financial affairs for tax evasion. He said that telecom operators use specific software that cannot be traced by others and they keep things secret. Ejaz Shah disclosed that during the last five years Mobilink paid Rs 2.5 billion tax while their annual earning was more than Rs 85 billion; the same is the case of other companies.


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