NA Finance Committee Urges Cut in Smartphone Taxes

ISLAMABAD: The National Assembly’s Finance Committee has called for a reduction in taxes on smartphones, emphasizing that these devices are now essential rather than a luxury.

The meeting, chaired by Syed Naveed Qamar, Chairman of the Standing Committee on Finance, discussed ways to resolve ongoing tax disputes. Qamar highlighted that the FBR is imposing high taxes on mobile phones, second only to vehicles, and stressed the need to ease the burden on consumers. He also noted that Pakistan’s participation in the IMF program should not justify keeping such high taxes.

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MNA Ali Qasim Gilani criticized the FBR’s market valuation of smartphones, calling it inflated. Tax officials defended the rates, stating that taxes are applied to the price of the phones and not the model, and argued that smartphones are mostly used by wealthy individuals.

The PTA Chairman added that only 6 percent of high-end phones are imported into Pakistan, indicating that most imports are not luxury models. The committee’s recommendations reflect growing calls to make smartphones more affordable for the general public.