Former President ICCI Shahid Rasheed Butt on Saturday said telecom industry holds the key to national development but it is reeling under heavy tax burden. 

Similarly, IT sector is also facing heavy taxation which is impeding its growth, he said. 

Talking to the business community, Shahid Rasheed Butt said that some telecom companies have increased price of their services which should be brought back by giving them tax relief.

He said that heavy incidence of taxation is hurting the telecom sector and it is impeding proper local and foreign investment in this promising sector.

Poor population comprising majority of 167 million subscribers with no taxable income are paying unjustified telecom taxes while the rich get relief in the tax. 

The advance income tax of 12.50 percent is refundable but the facility is availed by the rich while the poor have no other option to pay it, he said.

The business leader informed that apart from GST, people are paying federal excise duty, activation fees, withholding tax, etc.