KARACHI – Mobile phone prices are already all-time high, and now newly imposed taxes by Federal Board of Revenue (FBR) will further add to woes.
The country’s apex tax collection authority announced new sales tax policy under the updated Sales Tax Act, 1990, which took effect on July 25, 2024.
The new policy imposes 25pc sales tax on the import of completely built-up (CBU) mobile phones with a value exceeding $500 per unit. For CBU phones valued at $500 or less, the tax rate will be 18%.
Locally assembled CBU phones will also be subject to an 18% sales tax, the same as for imports in completely knocked down (CKD) or semi-knocked down (SKD) forms.
This shift is intended to boost revenue by targeting high-end mobile phone imports. Experts anticipate that this could lead to higher prices for premium smartphones in Pakistan.
Pakistani government is taking stern measures under tax reform strategy aimed at enhancing fiscal stability in response to economic pressures.
Mobile phone prices to go up with new import duties in Budget 2024-25
