PTA abolishes tax on bringing cellphones from abroad

Rating Justification

The iVerify Pakistan team has checked this content and established that it is false.

To arrive at this verdict, the iVerify Pakistan team approached the Pakistan Telecommunication Authority (PTA) to corroborate or debunk the matter.

HOW IT STARTED

On May 22, 2024, a claim was widely circulated on social media that the duty on cell phones brought from abroad was abolished.

A typical caption of such posts was along the lines of: “Good news! Thanks to God, the PTA tax has been abolished for bringing mobile from abroad, and notification has been issued to Pakistan Telecommunication.”

The claim was shared by an X user who appears to be a PML-N supporter, with the post gaining over 106,000 views.

The post was also shared here, here, here and here.

METHODOLOGY

The iVerify Pakistan team sought to determine the veracity of the claim due to its virality and because the matter concerns the general public at large.

Investigating the matter led to a PTA statement issued on its Facebook page on May 23.

The statement’s text is reproduced below:

“With reference to a news circulating in the media ‘that the prime minister of Pakistan has announced the removal of FBR (Federal Board of Revenue) taxes on mobile handsets’. The news reports also claim that Pakistanis returning from abroad will not have to pay these taxes, and that non-PTA mobile users can get their devices approved by turning their phones on and off with a SIM inserted.

The prime minister of Pakistan in July 2023 extended the facility of tax-free handset registration (through Temporary Registration System) to overseas Pakistanis for a period of 120 days on their each visit to Pakistan. It is to inform that PTA is not in receipt of any decision made by the government of Pakistan for removal of FBR taxes on handset for their registration, other than temporary handset registration facility.

Furthermore, it is clarified that PTA is responsible for verification of technical standards of the mobile devices for their registration through DIRBS after payment of FBR taxes. The implementation and collection of taxes on the mobile devices is the mandate of FBR. Any update on mobile device taxes implementation/increase/removal may please be sought from FBR.”

The team also contacted the PTA and questioned Public Relations Director Malahat Obaid about the circulating claim regarding tax abolition to which she said: “The news is fake.”

She further said: “The facility for 120 days tax-free use for expatriates was already there since July 2023, but there is no exemption of tax fully for the mobiles as claimed on social media.”

CONCLUSION

The iVerify Pakistan team has determined that the claim regarding elimination of the tax on cell phones brought from abroad is false.

As per the PTA, there has been no change in the official policy and the tax exemption is only granted for a 120-day period to those coming from abroad.

Evidence and References

PTA May 23, 2024, official statement:
https://www.facebook.com/photo/?fbid=771197625173624&set=a.191492023144190