The Federal Board of Revenue (FBR) is considering ways to lower the tax on mobile phones in the federal budget for the fiscal year 2023–24, which is anticipated to be unveiled on June 9.
According to Pakistan Mobile Phone Traders Association the number of mobile phone users in Pakistan has exceeded 18 crore and 69 lakh. In order to cope with the financial crisis of current financial year, in the new budget a proposal of conspicuous reduction in the rates of duties in cellular phones is under consideration, which is about 100 percent to 150 percent at present on small and big mobile phones. The mobile industry is at the brink of collapse due to increase in taxes. It not only affected traders but also made the life of millions of people difficult to earn livelihood.
Previously, the government was obliged to raise the duty on mobile phones by 100% to 150%, and resultantly, only Rs5 billion to Rs10 billion were being deposited in the national exchequer instead of Rs85 billion.
A suggestion for a noticeable drop in the rates of levies on cell phones—which are currently between 100% and 150% on small and large mobile phones—is under discussion in the new budget as a way to address the financial crisis of the current fiscal year.
Ishaq Dar, the finance minister, and other top officials reportedly received recommendations from a delegation of the Mobile Phones Traders Association.
