ISLAMABAD : In a significant move, the National Assembly’s Standing Committee on Finance has strongly demanded a reduction in taxes on smartphones, arguing they are now an essential utility, not a luxury.
The committee, chaired by Syed Naveed Qamar, met to discuss tax dispute resolution methods. Chairman Qamar criticized the Federal Board of Revenue (FBR) for imposing “exorbitant” taxes on mobile phones, which he stated were second only to vehicles. He emphasized the urgent need to lower these taxes, declaring, “smartphones are no longer a luxury item but a necessity.”
Qamar also challenged the government’s frequent use of International Monetary Fund (IMF) program constraints as a justification for high taxation. “This stance cannot be valid anymore that they are in an IMF program,” he asserted.
The committee’s stance was supported by MNA Ali Qasim Gilani, who criticized the FBR’s high market valuation of mobile phones for tax purposes. However, tax officials defended the policy, arguing that smartphones are primarily used by the affluent and that taxes are levied on the phone’s price, not its model.
Offering crucial data, the Chairman of the Pakistan Telecommunication Authority (PTA) revealed that only 6% of mobile phones imported into the country are expensive, high-end devices. This statistic bolstered the committee’s argument that blanket high taxes disproportionately affect users of mid-range and budget phones.
The confrontation highlights a growing policy rift between legislators advocating for public relief and digital inclusion, and tax authorities focused on revenue generation. The committee’s firm recommendation is expected to increase pressure on the government to reconsider its smartphone taxation strategy in the upcoming fiscal measures.
Meanwhile the Frontier Corps (FC) Balochistan (South) seized narcotics worth an estimated Rs4.9 billion during an intellig,ence-based operation in the Surak area of Panjgur, officials said on Tuesday.
According to FC Balochistan (South), the operation led to the recovery of 570 kilograms of opium and 491 kilograms of cocaine powder. Security forces also arrested two suspects from the site.
Officials said the operation targeted a key drug-trafficking network believed to be linked with elements involved in destabilising activities. They added that the force is pursuing a “zero-tolerance policy” against narcotics and remains committed to dismantling organised drug networks operating in the region.
