Hilarious PTA Tax on Samsung Galaxy M31 May Shock You!

Sometimes, we don’t understand the taxation mechanism and policies of the Federal Board of Revenue (FBR). Can you imagine a smartphone that is over four years old and has a PTA tax more than its current market price? Well, it’s certainly true. Recently, one of my colleagues bought a second-hand Samsung Galaxy M31 from UAE as a gift for someone. However, he was shocked when he applied for the PTA registration, as it turned out that the M31 PTA tax on CNIC is Rs 28,197 while on the passport it’s Rs 24,664. While on the other hand, the Galaxy M31 is available (secondhand) for around Rs 20k in the market.

It’s shocking to see that the national telecom regulator is levying such high taxes on years-old phones. This not only reveals flaws in the tax system of the Federal Board of Revenue (FBR) but also raises concerns regarding the practicality of the tax structure. The outdated devices (more than three years old) must be removed from the tax system. Otherwise, people will always try to evade taxes which could dent the overall revenue collection.

There are several reasons why such high taxes on outdated devices should be reconsidered:

  • High taxes on old smartphones can directly affect the lower-income segment of society who find second-hand devices as affordable options.
  • Such high taxes can deter people from purchasing smartphones, limiting their access to essential digital services.
  • Excessive taxation on mobile phones stimulates tax evasion and promotes an underground black market, which could lead to low tax collection.

Also read:

Pakistan Government Imposes 25% Tax on Mobile Phones Worth Over $500

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