ISLAMABAD: The Senate Standing Committee on Finance has approved a proposal to impose taxes on online educational platforms and academies.
The decision was made in a meeting chaired by Chairman Saleem Mandviwala.
During the session, Senator Shibli Faraz suggested that individuals earning between PKR 600,000 to
1.2 million per month should be exempt from income tax, highlighting the declining real value of salaries amid rising inflation.
FBR Chairman Rashid Langrial informed the committee that private clubs’ incomes would also be included under the tax net, despite objections from the committee chairman who suggested reconsideration.
Langrial justified the move by stating that these clubs cater to only about 300 members and do not benefit the general public.
New Tax Measures on Non-Filers and Online Education Sector
State Minister for Finance Bilal Azhar Kayani stressed that taxes should apply where income exceeds expenses, focusing especially on the privileged class.
The committee largely supported taxing income from private clubs.
FBR officials shared plans to introduce stringent restrictions on property and vehicle purchases for non-filers in the upcoming budget.
A proposed 130% additional tax on property purchases by non-filers was discussed, but Senator
Mohsin Aziz recommended raising this limit to 500%, which the committee approved.
Finance Minister Muhammad Aurangzeb highlighted the government’s efforts to bring more people into the tax net by increasing penalties on non-filers.
Taxation on Online Academies and Teachers
The committee also approved the proposal to levy taxes on online educational institutions and academies.
FBR Chairman clarified that some online academies earn up to PKR 2 crore monthly, and any teacher earning through online platforms will be required to pay taxes.
This move aims to formalize the growing online education sector and ensure fair tax contributions from all income sources.
The decision reflects the government’s broader strategy to expand the tax base and regulate emerging digital economies.
