Pakistan likely to reduce duty on mobile phones in budget 2023-24

ISLAMABAD – The federal government is expected to reduce the duty on mobile phones in the upcoming budget for the fiscal year 2023-24 in line with the recommendations made by the Pakistan Mobile Phone Traders.

Previously, the government raised the duty on small and big mobile phones by 100% to 150%, and resultantly, it could collect only Rs5 billion to Rs10 billion instead of Rs85 billion.

Reports said the Federal Board of Revenue (FBR) is mulling the options in this regard while the traders’ body has also submitted their recommendations to Finance Minister Ishaq Dar. 

Traders were of the view that the heavy taxation had served massive blows to the mobile phones business, adding that the small businesses suffered most due to it as their owner are even unable to earn the livelihood. 

It has been learnt that a 75% duty was imposed on cellular phones in Pakistan as compared to other countries of the region like Singapore, Bangladesh and Turkey where it is not at that level. That is the reason people are using smartphones without paying duties in connivance with FBR, reported Geo News.