In recent news, the government resolved multiple issues and approve massive incentives for the information technology and telecom sector. This includes a revision and expansion of the tax definition of the IT industry while ensuring coverage of all sub-sectors.
Upon the approval, Federal Minister for IT and Telecom, Amin Ul Haque, stated that the finance minister had approved a fund to provide IT companies cash rewards against the trade surplus of the respective exports of their products and services from Pakistan.
Moreover, he added that one percent of the IT industry’s annual export remittances would be allocated to the PSEB every year in order to carry out the development of numerous skills whilst ensuring the establishment of software technology parks across Pakistan.
In addition, the Minister of Finance has agreed to take certain steps to facilitate foreign-owned companies operating in Pakistan and creating further proposals for supporting such companies.
All in all, this will help the government attract the FDI towards Pakistan’s tech sector, enable more job opportunities and enhance the export income for the country.