Budget 2024-25: KP private schools reject imposition of tax

PESHAWAR: The Hub of Private Education (HOPE) on Monday strongly opposed the imposition of fixed tax on private educational institutions, calling it an attack on education.

As per the details, HOPE (representing private schools in Khyber Pakhtunkhwa (KP) demanded immediate withdrawal of this anti-education tax imposed by the Sunni Ittehad-PTI-led provincial government.

According to Hope (Women) KP General Secretary, Sidra-tul-Muntaha, private schools are important for increasing the literacy rate by educating millions of children.

Despite their significant contribution to education, the government has chosen to implement adversarial policies, such as imposing a tax ranging from Rs 50,000 to Rs 2,50,000 per institution.

She emphasized that while government schools struggle to provide education at Rs 5,000-7,500 per child, private schools provide quality education at minimal fees.

Instead of burdening them with heavy taxes, the government should facilitate the opening of more schools.

Apart from the new tax, private schools are already subject to various other payments to the provincial government, including fees for renewal of registration with regulatory authorities, income tax, professional tax and others.

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The Secretary General of HOPE highlighted that 90% of private school’s charge less than Rs 3000 per month, barely covering their expenses. The introduction of this new tax threatens their survival and may force them to close down.

They urged Chief Minister Ali Amin Gandapur to reconsider the tax, warning of strong protests from schools, students and parents if their concerns were not immediately addressed. They asserted that if the government did not withdraw the tax, there would be no option but to close the schools.