**ISLAMABAD:** The National Assembly Standing Committee on Finance and Revenue, chaired by Syed Naveed Qamar, on Sunday directed the Federal Board of Revenue (FBR) and the Pakistan Telecommunication Authority (PTA) to jointly formulate an installment plan for mobile phone taxation, acknowledging that millions of handsets currently remain unregistered due to high duties.

During a detailed briefing on the taxation structure of imported and locally manufactured mobile phones, FBR officials revealed that the effective tax rate across all imported categories averages a staggering 39.6 percent. Under the current regime, the per-unit tax escalates dramatically from a minimum of Rs. 1,500 to as high as Rs. 141,500 based on the commercial value of the device.

The tax breakdown presented by the FBR highlights a steep progression:

| Phone Value (USD) | Effective Tax Rate |

|---|---|

| Up to $30 | 25% |

| $31 to $100 | 36% |

| $101 to $200 | 40% |

| $201 to $350 | 38% |

| $351 to $500 | 40% |

| Above $500 | 41% |

FBR officials noted that 44 percent of all imported phones fall within the lower-tax bracket of $31 to $100. However, the overall heavy taxation sparked serious concerns among committee members.

Committee members pointed out that millions of mobile phones are currently floating in the local market as "Non-PTA" devices because citizens cannot afford to pay the hefty registration taxes in a single lump sum.

"Across the globe, installment facilities are readily available even for minor purchases," a committee member argued, urging the government to introduce a structured payment mechanism for cellular taxes.

Endorsing the recommendation, Chairman Syed Naveed Qamar directed the FBR to collaborate with the PTA and return with a concrete framework to allow citizens to pay mobile registration taxes through manageable installments.