
Imagine opening your phone bill next year and seeing a bigger number staring back at you. That’s the reality coming in 2025, thanks to a new withholding tax from the Federal Board of Revenue (FBR).
This tax hits mobile phones, landlines, and internet services, and it’s not going to be gentle—especially if you’re a heavy user or haven’t filed your taxes.
Here’s everything you need to know about what’s happening, how it’ll affect you, and why the FBR thinks this is a good idea.
Picture this: you’re chatting with a friend, streaming your favorite show, or making a quick landline call. Starting in 2025, all these everyday activities will cost more. The FBR has rolled out a withholding tax that’s set to bump up the price of staying connected.
The news broke with a headline that hit home: “Communication is now even more difficult, phone and internet are more expensive.”
Depending on how much you use these services and whether you’re on the tax-filing list, your wallet might feel a light tap—or a heavy thud.
How This Tax Actually Works
This isn’t a one-rate-fits-all situation. The FBR has cooked up a tiered system that changes based on what you’re using and whether you’ve filed your taxes. Let’s break it down:
Landline and Telephone Users
- Rate: 10% tax if your monthly bill tops PKR 1000.
- What It Means: If your landline bill stays under PKR 1000, you’re off the hook. But go over that, and you’re paying an extra 10%. The report puts it simply: “A 10% withholding tax will be applicable on monthly bills exceeding PKR 1000 for telephone or landline users.” Small users, breathe easy; big talkers, take note.
Internet Services
- Rate: 15% tax, no exceptions.
- What It Means: Whether you’re doom-scrolling or working from home, your internet bill’s getting a 15% hike. The news says, “A 15% withholding tax will also be applicable on internet services.” No dodging this one—it’s a flat hit for everyone online.
Non-Filers Get Slammed
- Rate: Up to 75% tax if you haven’t filed your returns.
- What It Means: If you’ve been skipping tax season, 2025 is going to hurt. The report warns, “The withholding tax rate for non-filer users will be up to 75 percent.” That’s not a typo—75%. Ignoring taxes could mean paying triple what filers do.
Who’s Going to Feel This Most?
Not everyone’s in the same boat here. Some folks will shrug it off, while others might groan at their next bill:
- Heavy Users: If you’re racking up big bills—maybe you run a small business, work remotely, or just love streaming—the report keeps hammering it home: “Users with higher billing will be affected by the withholding tax.” This one’s for you.
- Non-Filers: Skip filing? That PKR 2000 landline bill jumps from a PKR 200 tax (10% for filers) to a jaw-dropping PKR 1500 (75%). It’s a loud wake-up call to get those returns in.
You can learn more about Filer vs Non-Filer in Pakistan: Benefits, Disadvantages.
Why’s the FBR Doing This?
The FBR’s got a plan, and they’re not hiding it. Officials say, “This step is being taken to promote tax compliance.”
File, and you pay less; don’t, and you’ll feel the sting. It’s a classic nudge—or maybe a shove—to get folks in line.
What This Could Mean for You
This tax isn’t just numbers on a page—it’s going to ripple through daily life. Here’s what might happen:
Everyday Costs Climb
Phones and internet aren’t optional anymore—they’re how we work, learn, and stay connected. A 15% bump on your internet or 10% on your landline might not sound huge, but it adds up fast, especially if you’ve got multiple lines or a family plan.
If you’re glued to your devices—like remote workers, online teachers, or call-heavy businesses—you’re in the crosshairs. A PKR 5000 internet bill? That’s an extra PKR 750 a month, or PKR 9000 a year.
That 75% rate for non-filers is a game-changer. People who’ve never bothered with tax returns might scramble to file by December 2025 just to dodge the penalty. The FBR could see a nice little boost in compliance—and cash.
New taxes on stuff everyone uses tend to spark some noise. Don’t be surprised if folks start venting about tighter budgets and higher bills, especially if they don’t see quick benefits from this.
The FBR’s new withholding tax on mobile, landline, and internet use is a gutsy move to boost tax compliance, but it’s not going to win any popularity contests. Starting in 2025, your bills are going up—way up if you’re a non-filer or a high user.
The goal’s clear, but whether it works without ticking everyone off is the big question. For now, take a peek at your usage, dig out that tax paperwork, and get ready for a more expensive digital world