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Today's Paper | March 03, 2026

Published 26 Feb, 2026 07:47am

Unjustified taxes

INSTEAD of curtailing its own expenses, the government has been imposing exor-bitant general sales tax (GST) and with-holding tax (WHT) on utilities, consumer goods and profit on savings. This is highly unjustified and unfair. Not a single rupee is exempt from taxation. The current rate of GST on utilities, such as electricity and gas, as well as on consumer goods, is 18 per cent. The rate of WHT on profit against savings has been increased from 15pc to 20pc in the last budget. This increase has no reasonable justification.

The tax rate on prepaid cellphone recharge is 25pc, which appears extremely high compared to other countries in the region. Instead of providing relief to the people, the government is making every effort to extract the maximum possible revenue, leaving no segment untaxed.

On top of all this, electricity and gas utilities have imposed ‘fixed charges’ on their monthly bills. These charges are added to actual energy consumption costs and other taxes. This is simply unjustified.

This situation reflects nothing but the highhandedness of civic institutions. If the government is unwilling to provide relief to the people, federal and provincial ombudsmen should take notice of these charges that are neither justified nor ethical. Parliamentarians should think twice before approving such measures merely to toe the line of the ruling party. They should show kindness to the people who elected them, not persecute them.

Khawaja Tajammul Hussain
Karachi

Published in Dawn, February 26th, 2026

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