ISLAMABAD: The new budget is coming, which mobile phones can become cheaper for the public after this budget has come.
The federal budget for the fiscal year 2026-27 will be presented on June 5. Negotiations between the IMF and Pakistan on the budget have also been completed. The good news is that many mobile phones can become cheaper after the budget.
The federal government seems ready to maintain the current high PTA tax structure on premium imported phones in the budget for the next fiscal year – which may once again disappoint smartphone users and dash hopes of any major relief for consumers.
However, the budget also contains a much-anticipated proposal to reduce mobile phone taxes from 25 percent to 18 percent, which, if implemented, is likely to reduce the prices of high-end smartphones priced above $500.
The reduction in phone taxes is likely to make iPhones, Samsung flagship phones cheaper in Pakistan.
On the other hand, there are reports that local smartphone companies are strongly against any reduction in import taxes, as lower duties will make imported phones cheaper and may affect sales of locally manufactured mobile phones.
Under the PTA’s current registration system, phones brought from abroad or entering through unofficial channels are only functional for a limited time until the hefty duty is paid.
These taxes are already pushing the prices of flagship devices skyrocketing. Despite growing expectations of relief in the upcoming budget, current indicators suggest that the current tax structure on imported smartphones, especially flagship devices, is likely to remain in place.
If import taxes on mobile phones are not reduced, smartphone prices, especially flagship devices, may become unaffordable for Pakistani consumers who are already struggling with inflation.
