No Relief in Sight: Mobile Phone Taxes Remain High Ahead of 5G Rollout
The upcoming 5G spectrum auction policy also offered no clarity on taxation of imported phones, intensifying concerns in the telecom industry.
ISLAMABAD: (Web Desk) – Despite repeated demands from the telecom sector, no progress has been made on reducing taxes on imported mobile phones, sources said, raising concerns ahead of Pakistan’s 5G spectrum auction.
Telecom operators have been urging the government to lower taxes on mobile devices to ease the shortage of 5G-enabled phones in the market. Both the Ministry of IT and the Pakistan Telecommunication Authority (PTA) had recommended tax relief to support the 5G rollout. However, the Federal Board of Revenue (FBR) has rejected the proposal, citing potential risks to overall tax collection targets.
Read More: FBR Data Shows Rising Tax Burden
The upcoming 5G spectrum auction policy also offered no clarity on taxation of imported phones, intensifying concerns in the telecom industry.
While the FBR has indicated it may revisit the mobile phone tax structure in the next federal budget, no immediate relief is expected.
The stalemate leaves both telecom operators and consumers waiting, with the cost of imported devices remaining high. Industry insiders warn that unresolved taxation issues could slow the adoption of 5G services, highlighting rising tensions between Pakistan’s revenue authorities and the telecom sector.
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