ISLAMABAD: The federal government is gearing up to unveil the budget for the fiscal year 2024-25, stirring curiosity among the public regarding potential tax adjustments, particularly concerning cell phones.
Insiders familiar with the workings of the finance ministry reveal that the government plans to raise taxes on imported mobile phones in the forthcoming budget.
This move is expected to lead to a hike in the prices of imported mobile devices, as the Federal Board of Revenue (FBR) proposes to impose Federal Excise Duty (FED) on them.
Conversely, the budget is poised to introduce incentives aimed at boosting local production of smartphones. Reports suggest that tax cuts are on the horizon for the manufacturing of mobile components such as parts, batteries, chargers, and headphones.
These incentives are designed to bolster domestic manufacturing capabilities and foster growth within the local mobile phone industry.
Moreover, the FBR has put forth proposals to ramp up regulatory duties and Pakistan Telecommunication Authority (PTA) taxes on imported luxury mobile phones in the upcoming budget.
In a separate announcement, the federal government has disclosed a significant increase in budgetary allocation for the education sector, marking a record boost in funding for educational initiatives.
