Confirmed! Mobile Phones Prices Unexpectedly Increased by up to 12%
The implications of tax hikes on mobile phones announced in the budget are evident after different smartphone companies announced increases in the prices of mobile phones. However, the problem is that the price increases are much higher than we anticipated. Mainly, it can be attributed to the increase in taxes but there may be some hidden levies that haven’t been disclosed.
The government announced a 1% increase in sales tax (ad valorem) on smartphones below $500, and the taxes on smartphones above $500 remained the same at 25%. However, the price increases are much higher than the announced taxes.
To give you a more clear picture, let’s take a look at the price increases announced by smartphone companies in Pakistan.
| Model | Old RRP (PKR) | New RRP (PKR) |
|---|---|---|
| Infinix Smart 8 Plus | 23,999 | 26,999 |
| Infinix Hot 40i | 31,999 | 36,999 |
| Tecno Pova Pro 5G | 40,999 | 46,999 |
| Samsung Galaxy A25 | 90,500 | 98,500 |
| Samsung Galaxy A35 | 104,999 | 119,999 |
| Samsung Galaxy A55 | 120,999 | 139,999 |
| Samsung Galaxy A34 | 114,999 | 116,999 |
| Samsung Galaxy A54 | 140,999 | 140,999 |
| Samsung Galaxy S23 ULTRA | 339,999 | 382,999 |
| Samsung Galaxy S24 | 269,999 | 289,999 |
| Samsung Galaxy S24 ULTRA | 399,999 | 434,999 |
| Samsung Galaxy Z Flip 5 | 334,999 | 368,999 |
| Samsung Galaxy Z Fold 5 | 559,999 | 626,999 |
As evident, the price increases are huge. On the lower-end smartphones, the percentage increase is around 6% while on flagship phones, it’s around 12%. We are not sure on what grounds these prices have been changed. The taxes can be attributed as one of the reasons, but surely there are some others as well that haven’t been disclosed by the authorities.
Stay tuned with us to learn more about price increases on other smartphones!
Mobile Phone Taxes Portal
Find the PTA Taxes on All Phones on a Single Page using our Taxes Portal.
Note: Mobile phone tax rates and calculations fall under the jurisdiction of the Federal Board of Revenue (FBR), not the Pakistan Telecommunication Authority (PTA).
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