Govt Cuts Taxes on Affordable Phones by Upto 85%

The Government of Pakistan, through a presidential ordinance, has reduced the rate of withholding income tax and Sales tax on the import of mobile phones.

The Federal Board of Revenue (FBR) issued a list of salient features to explain the amendments to Income Tax Ordinance, 2001 through Tax Laws (Second Amendment) Ordinance, 2001. The amendments will apply to income tax, sales tax and customs duty.


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Prior to the promulgation of the Tax Laws (Second Amendment) Ordinance, 2019 the rate of withholding income tax on the import of mobile phones was Rs. 730 in case of a mobile phone valued between $30 and $100.

In order to complement the efforts of the government towards the promotion of financial inclusion and e-commerce, income tax at the import stage for affordable mobile phones has been reduced. Taxes have been reduced for phones having a value exceeding $30 and up to $100, from Rs. 730 to Rs. 100 per mobile phone.


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Sales tax on mobile phones up to the value of 30 US dollars has been reduced from Rs. 130 to Rs.100 and phones having a value of up to 100 US Dollars from Rs. 1320 to Rs. 200.

Fakhar Ahmed, Chief Comms Officer at Jazz, while appreciating the move said:

“The government’s move to reduce duty on basic smartphones is a welcome decision. For a truly #DigitalPakistan, affordable and quick access to the Internet is critical. With this pro-technology move, we also predict improved social impact in healthcare, education and digital financial services, especially in underserved areas of Pakistan. We look forward to more substantive policies that make Pakistan digital in the long term.”


  • Dear ! What is the reference of calculating the dollar worth of the phone ? Any idea for example how much taxes applicable on Moto G6.

  • Govt impost tax on food, Today i bought K&Ns chicken Firy finger pack for my kids which rate was Rs.660 but now govt impost tax of Rs.50 on every pack and now its rate is 710. What is this ? tax on food, dont know what to say…

    • You are feeding soy based genetically modified junk to your kids? Bravo. Keep feeding chemicals to kids and they will suffer in their later life. Same applies to nutella which is fake chocolate. In fact, any chocolate that does not cost a few thousands, is fake chocolate made from palm oil and chemicals.
      I hope SC would place procreation ban on clueless parents. Dont make kids if you cant give them natural/organic food.

      • You are idiot sir. Why not force authorities to provide organic food instead of preaching parents?

      • Ah yes, when a stick up one’s rear is only second to a stick up one’s urethra. Bravo.

      • Depondent is Dependent on the internet to fabricate his world view, and of course doesn't know how to spell deponent says:

        But the puris and samosas are still healthy right? yum yum.

    • the one who spend 660rs on ONLY 5 pieces K&N pack, would definitely able to afford 50rs as tax. “”Ghareeb log per shoook ameeeroooo wale”” :D

      • Yes. Surely food isn’t an exception to taxation, within reason.
        But the idea is to collectively improve everyone’s quality of life. And a big part of such, is choice. It’s better to be able to point a finger at a frozen foods vendor for ripping you off, but harvesting such a feeling for your own government isn’t healthy. You can choose not to buy the chicken, but then again, whatever you DO choose to buy, will incur an ever escalating tax amount. It’s unlikely that the government was not already taking a healthy bite out of the former price of the item in question in the first place.

  • no doubt govt increases taxes but companies are just fucking they not add taxes in their prices but they add after buying in bill , this is just fucking , someone have to take action.

  • Government reduce taxes on affordable phone.
    bhai, jan affordable ki jaggah ‘only Cheap’ phones write kro.

  • Yet our politicians are seen flexing their latest iPhones and Galaxys in media daily. But we people don’t you think of buying expensive phones you peasants.

  • Maximum tax should not be more than Pkr.10,000. Every class of people want to own good phone. Is it only politicians right to fancy high end iPhone’s and Galaxies? ?
    Government should put taxes on other electronics too. Phone’s are necessity nowadays, taxes on phone’s should be very minimal in compared to other electronics.


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