- Bonuses on the latest models reaching Rs150,000.
- Imported telephones taxed according to the regime in force.
- Report on the matter to be delivered by March before NA.
The Federal Board of Revenue (FBR) said taxes on expensive imported mobile phones impact only a small segment of consumers, noting that premiums on new high-end models amount to around Rs 150,000.
“It is only a 5% customer problem,” FBR Chairman Rashid Langrial told the Senate Standing Committee on Finance, which was discussing a petition filed by the Federation of Islamabad Chambers of Commerce and Industry.
Langrial said 95% of the country’s mobile phones are now manufactured locally, adding that only imported devices are subject to the current tax structure.
He noted that consumers who already pay high premiums for luxury models should have no difficulty paying the taxes due. “The problem is only with high-end phones. If someone can pay a premium of Rs 150,000, why can’t he pay taxes?” he remarked.
The FBR chief reiterated that taxes apply to imported phones, not local phones, and concerns raised by industry stakeholders would be addressed in detail.
He assured the committee that the tax authority would submit its report on the matter to the National Assembly by March, and the same findings would also be shared with the committee.
The day before, before the Standing Committee on Finance of the National Assembly, PPP MP Qasim Gillani declared that there were too many taxes on smartphones because they are already too expensive and are beyond the reach of ordinary people.
The MP added that people were even forced to pay taxes again if their phones were stolen.
FBR chairman Langrial told the committee that prices of several major brands had fallen, but acknowledged concerns over valuation. “If the FBR rate is higher than the market rate, it will be reduced,” he assured.
Tax authorities added that duties were applied to the price of the phone and not the model. Tax authorities said mobile phones contributed Rs 82 billion to revenue last fiscal year.
