Bad News: PTA Set To Increase Import Taxes On Phones Yet Again!

PTA (Pakistan Telecommunication Authority) is the telecommunication regulator of Pakistan. It is responsible for the establishment, operation, and maintenance of telecommunication systems in Pakistan. They are also responsible for collecting taxes on imported smartphones. Import duties are already very high. Now, due to the increase in dollar prices, companies can’t provide reasonable prices. On top of that, PTA is now rumored to further increase the import taxes devices.

Old And Rumoured New Tax Rates

PTA calculates taxes based on the value of the phone in USD. So, for example, a phone valued at $300 will have lower tax than the one valued at above $500. The old tax rates were already quite high. Almost all consumers think that they are not reasonable. Now, the rumored new tax rates are more beefed up. They are probably for phones valued above $500.

Above are the Taxes that are still shown on the website.

The rumored new taxes are as follows:

Several smartphone dealers who sell imported non-approved devices have posted these new taxes. They have urged people to get their devices approved before these new increased taxes apply.

Advantages And Disadvantages

There are some advantages of these high taxes as well. Companies are encouraged to set up assembly and manufacturing plants in Pakistan. So, they can keep the prices low and consumers can get some great value for money devices. Another advantage is that smuggling of devices has been somewhat halted. The country’s economy can be benefitted if phones are made in Pakistan. Job opportunities will arise. Unemployment can be reduced when jobs will be offered by companies.

However, there are some disadvantages as well. Consumers have to bear all the load of these high taxes. The culture of patching IMEI of a device has picked up the pace. Smartphones are priced way higher than their value all over the globe. There must be a middle-ground. Because, in the end, the consumers are the ones we have to care about. If the taxes were reasonable, I am sure nobody would hesitate to pay them. Nobody would take the illegal route of patching IMEIs. The related authorities should review these high taxes.


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