Imported Mobile Phones Tax Reaches 54% of Price, NA Committee Briefed

Islamabad: The tax burden on imported mobile phones has reached 54% of their total price, officials informed the National Assembly Standing Committee on Finance during a briefing.

The meeting, chaired by Syed Naveed Qamar, reviewed multiple government bills and discussed taxation policies related to mobile phones.

Officials from the Tax Policy Office stated that imported mobile phones are subject to 18% General Sales Tax (GST) and concessional income tax. In addition, a withholding tax of Rs 11,500 applies to high-end devices, while phones priced at $500 are subject to taxes of up to Rs 76,000.

The committee was further informed that locally manufactured mobile phones carry a lower tax burden of around 25%, compared to 54% on imported devices.

Chairman Syed Naveed Qamar remarked that if sales tax is already being applied, the need for additional income tax should be reconsidered. He emphasized the importance of encouraging modern technology imports to support economic growth and called for a clearer mobile phone tax policy in the upcoming federal budget.

During the same session, the committee also discussed the Parliamentary Budget Office Bill 2026. Member of the committee Javed Hanif stated that the bill had effectively become a government initiative and stressed that the committee should also have the authority to propose budget recommendations.

Another member, Nafisa Shah, suggested that the proposed Parliamentary Budget Office should also be empowered with monitoring and review functions.

Committee members were assured that the Ministry of Finance would retain its core authority over budget matters. Later, the committee approved the establishment of the Parliamentary Budget Office.