The Federal Board of Revenue (FBR) has presented a comprehensive breakdown of taxes imposed on imported mobile phones during a briefing to the National Assembly’s Standing Committee on Finance.
According to officials, all duties and levies are calculated based on the assessed value of the device, ensuring uniformity and transparency in the taxation process.
During the briefing, FBR representatives revealed that four major taxes apply to all mobile phones entering Pakistan. These include the mobile levy, regulatory duty, sales tax, and withholding tax. The final amount payable depends on the phone’s customs value, which is determined through a valuation ruling. In cases where no ruling exists for a specific model, the FBR uses the average import value recorded over the previous 90 days to estimate the official price.
For mobile phones valued at up to $30, the FBR has set a Rs100 mobile levy, Rs300 regulatory duty, 18 percent sales tax, and Rs70 withholding tax. Devices priced between $30 and $100 attract higher charges, including a Rs200 mobile levy, Rs3,000 regulatory duty, 18 percent sales tax, and Rs930 withholding tax.
In the next category, covering phones priced between $100 and $200, the taxes include a Rs600 mobile levy, Rs7,500 regulatory duty, 8 percent sales tax, and Rs970 withholding tax. For devices falling within the $200 to $350 price range, the charges rise significantly to a Rs1,800 mobile levy, Rs11,000 regulatory duty, 18 percent sales tax, and Rs5,000 withholding tax.
Phones valued between $350 and $500 are subject to a Rs4,000 mobile levy, Rs15,000 regulatory duty, 18 percent sales tax, and Rs5,000 withholding tax. Meanwhile, the highest taxes apply to premium smartphones priced above $500. Such devices carry a Rs8,000 mobile levy, which increases to Rs16,000 for phones exceeding $700, along with a Rs22,000 regulatory duty, 25 percent sales tax, and Rs11,500 withholding tax.
FBR officials stated that this structured taxation system ensures fair revenue collection while discouraging under-invoicing. The committee was informed that the policy aims to balance revenue needs with consumer affordability, especially as Pakistan continues to witness a growing demand for imported smartphones.