The government of Sindh has reduced the sales tax for software companies from 13% to 3%

• Sindh government announces tax relief for the IT industry.
• Sindh Sales Tax on IT, software businesses; and call centers to be slashed from 13% to 3%.
• Five-year IT policy also unveiled by Sindh Chief Minister Syed Murad Ali Shah.

The Sindh government intends to provide tax relief to the IT industry; by reducing the Sindh Sales Tax on IT software enterprises; and call centres from 13% to 3% and announcing a five-year IT policy.

Syed Murad Ali Shah, the Chief Minister, made the statement on Monday; during a session titled Ease of Doing Business for the IT/ITeS Industry. The Federal Minister for Information Technology spoke at the seminar; which was held by the Sindh Information Science and Technology Department; in collaboration with the Pakistan Software Export Board (PSEB) and PASHA.

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The CM said that assistance for the IT industry would be given in Tuesday’s budget talk; with the Sindh Sales Tax rate on IT, software enterprises; and contact centres being reduced from 13% to 3% without input tax credit. Large establishments, on the other hand, will have the option of paying 13 percent; with input tax credit if they prefer the usual rate.

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