Speculation surrounding potential reductions in PTA approval charges for smartphones has intensified across Pakistan, with social media platforms buzzing with unverified claims about upcoming policy changes. However, no official announcement has been made regarding any tax cuts.
Current Tax Burden on Smartphone Users
Mobile device registration fees in Pakistan remain substantially high, with premium smartphones attracting charges up to Rs220,000. This steep cost has pushed numerous consumers toward illegal alternatives, including JV iPhones, cloned IMEI devices, and patched smartphones available at significantly lower prices in major cities like Lahore, Karachi, Islamabad, and Sialkot.
Market Reactions and Expectations
Retailers in metropolitan areas have begun suggesting that tax adjustments might be implemented in the coming weeks, though these claims lack government backing. The underground market for unregistered devices continues operating, albeit less openly than previously.
Official Position on Taxation
At a recent AI Conference, PTA’s Director General Licensing, Brigadier (Retd) Amir Shahzad, clarified that the authority supports lower taxes on imported phones. He emphasized that the Federal Board of Revenue (FBR) holds exclusive authority over taxation, contradicting public perception that PTA controls these charges.
The official noted that public complaints align with PTA’s own concerns, as the current tax structure disadvantages both consumers and legitimate businesses. He stressed that PTA personnel also purchase devices and pay applicable taxes like ordinary citizens.
The expatriate community has repeatedly expressed frustration with the registration process, citing excessive charges even for personal-use devices brought from abroad.
While renewed public pressure has reignited discussions about tax reform, smartphone buyers must await concrete policy decisions from relevant government departments. Any reduction in PTA smartphone registration fees could significantly impact the legal device market and curtail illegal phone trade.
