Govt Considering to Double the Taxes on Mobile Phones

The government is planning to double sales tax (i.e. from Rs 500 for mid-range phones and Rs. 1000 for high-end smartphones) to Rs. 1,000 and Rs. 2,000 respectively for medium and high-end smart phones in the upcoming budget (2016-17).

A proposal is under consideration to substantially raise sales tax on the import of cell phones from next fiscal year.

In budget (2016-17), it has been proposed to enhance sales tax collected at the import stage from Rs 500 and Rs. 1,000 to Rs. 1,000 and Rs. 2,000 respectively for medium and high category/smart phones.

Not to mention, Pakistani government had doubled the sale taxes on mobile phone imports just last year.

So far, during the ongoing fiscal year, the Federal Board of Revenue (FBR) has collected Rs 8.06 billion sales tax on the import of Mobile Phones during 2015-16 as compared to projection of Rs 8 billion for the said period.

In last budget (2015-16), sales tax rates on cellular mobile phones were revised upward. Therefore, regulatory duty @ Rs. 200 per set was removed on mobile phones w.e.f. date of application of revised sales tax rates i.e. 1st July, 2015.

During last budget, the FBR had increased rate of sales tax on mobile phones to Rs. 300, 500 and 1000, from Rs. 150, 250 and 500, respectively, depending on features in the mobile set.

Mobile phone companies and phone makes have emphasized this time and again that these added taxes on mobile phone users are hurting the growth of industry as well as for the country.

Industry has said that added taxes enhances the entry barrier for a common man and it is less likely for a common man to use smarpthone with increased taxes.

Smartphone penetration in Pakistan has been on the rise, similarly the data usage on smarpthone reached all time high during April 2016. However, with such added taxes on phones and telecom services, the sector could show negative growth during times to come.


    • Not just that offshore companies are also there for kick backs for these corrupt people.

  • They know that with the 3G/4G technology and viable handsets, more people will be able to witness the fables of their corruption on the internet. Alas, PTV and Geo can only go so far.

  • I imported a phone from Aliexpress worth 11k and paid 4.1k tax. I am sure all this stupid kind of tax only helps ganja and other politicians in the name of 18th amendment.

  • Allu ka pahtay awam pay itna tax bhe lagatay hay us kay bawajood America say bheek mangane chale jate aur loan late hay na awam ko Pakistan may sakoon date hay aur joo logg bahir hay un ka naam kharab kar rahe hay ye bagharat loog.

  • Hello to all my friends , i must say one thing that why we as nation doesn’t take an initiative to make a Policy that any Parliamentarian must give education to their children through Government School and however in private schooling they would be charged triple the normal enrollment , this will automatically raise the standards of government school and it also impact the upbringing of the personality their children in positive aspect

    • Because we are too busy liking useless posts and pictures on facebook, watching movies and doing things that are nothing but waste of time. Because we think that we shall not be heard so don’t even try keeping watching bulbuly.
      Because as a nation we are dead.

    • you are talking in this country these garbage politicians making garbage in other countries too like pmls,ppp france uk party not only this they bastards making foreigner pakistani kids illustrate as compared to indians whom send there kids for education and what pakistani doing teaching there kids how to loot and do lust in other countries and don’t get education

  • Aur do “qoomiyat’ kay base pe vote.
    Nawaz Shareef bilkul sahi kr rha hai sab logoun kay saath.

    Jahalt to ye hai kay ye jaahil aur gawaar awaam next time bhi usi ko vote degi.

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