In a joint press conference held at the Lahore Press Club, prominent members of Pakistan’s digital and e-commerce community strongly opposed the proposed 18% sales tax on e-commerce, demanding its immediate withdrawal. The community expressed deep concern that this tax could seriously damage one of the few thriving industries in the country.
E-commerce expert Saqib Azhar, a pioneer with over 15 years of experience in the sector, emphasized that the digital industry has consistently faced policy-level roadblocks from the government. “Instead of supporting this rapidly growing sector, the government is creating hurdles,” he said. “There is no dedicated ministry or regulatory body for e-commerce, yet it is growing at a rate of 17% annually. Now, imposing an 18% tax will effectively slow down this momentum.”
Speakers at the press conference argued that such decisions reveal a lack of understanding of how digital economies function. Pakistan’s e-commerce ecosystem includes freelancers, small businesses, online retailers, digital marketers, and tech startups — many of whom depend entirely on online trade for their income. The new tax policy could put the livelihoods of millions at stake, especially youth and women working from home.
They stressed that instead of over-regulating the sector, the government should facilitate its growth through incentives, infrastructure development, and digital literacy programs. The digital economy, they noted, has the potential to significantly contribute to Pakistan’s GDP and create employment opportunities across urban and rural areas.
The digital community called for immediate dialogue with policymakers and warned that if the decision is not reversed, protests and large-scale shutdowns of online platforms may follow. “We are not against taxation,” they said, “but policies must be fair, inclusive, and growth-oriented.”