ISLAMABAD – The Pakistan Telecommunication Authority (PTA) has called for reducing the heavy taxes levied on mobile phones imported into the country.
Brigadier (Retd) Amir Shehzad, the Director-General of PTA’s Licensing Division, acknowledged the public’s long-standing concerns, stating that the excessive taxation has not only impacted citizens but also hurt various stakeholders in the mobile phone industry.
Speaking at an AI conference, Shehzad clarified that while many people mistakenly blame the PTA for the high taxes on mobile phones, the authority itself does not have the power to impose or collect taxes.
He clarified that the responsibility for taxing mobile phones lies entirely with the Federal Board of Revenue (FBR), not the PTA.
He further emphasized that, like the general public, PTA officials also buy mobile phones and pay taxes, with no special exemptions or free phones granted to them.
Shehzad’s remarks come after Pakistani parliamentarian Syed Ali Qasim Gilani raised concerns over the impact of exorbitant taxes on mobile phones.
In a letter to the Finance Standing Committee, Gilani called for an immediate review of the current taxation system.
He pointed out that the high import duties, sales tax, and registration fees have made access to modern technology increasingly difficult for ordinary citizens.
Specifically, Gilani highlighted that mobile phones valued above $500 are subjected to a 25% sales tax and an 18% general sales tax, which he described as a major barrier for the public.
In addition to local concerns, Pakistanis living abroad have also expressed frustration over the high taxes, as they find it increasingly expensive and challenging to register mobile phones brought into the country.
However, the FBR is yet to respond to the calls for decreasing taxes on mobile phones.
