Pakistan Reviews Mobile Phone Tax Relief For Expats Living In UAE, Other Countries

(MENAFN- Khaleej Times) The Pakistan government is considering tax relief on mobile phones for its citizens living in the UAE and other countries abroad.

Dr Tariq Fazal Chaudhry, Pakistan's Minister for Parliamentary Affairs, told the Senate that the Shehbaz Sharif government is seriously reviewing proposals to provide tax relief on mobile phones for overseas Pakistanis visiting the country.

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During a question-and-answer session in the upper house, Chaudhry said overseas Pakistanis have been demanding this relaxation for years, as mobile phones brought from abroad remain functional for only a few weeks.

Mobile phone connections are suspended by the Pakistan Telecommunication Authority after a few weeks due to non-payment of taxes.

Different tax rates have been set for various mobile phone models, and the issue of easing the burden on overseas Pakistanis is currently under serious consideration by the government, the Associated Press of Pakistan reported, quoting the minister for parliamentary affairs.

However, it is not clear whether the government will scrap the entire tax or provide partial relief.

Pakistanis in the UAE have welcomed the proposed tax relief.

“This is great news for Pakistanis living in the UAE and other countries. We visit our home country for two months, and our mobile phones stop working after only a few weeks. This creates a lot of hassle because we cannot remain connected to our businesses in the UAE,” said Najum-us-Saqib, a Dubai-based resident.

The Pakistan government earlier increased customs valuations on used and imported mobile phones by 175 per cent, making the devices more expensive, according to a report published by The Express Tribune in April.

The development comes weeks after the National Assembly's Standing Committee on Finance directed the Federal Board of Revenue and Tax Policy Unit to consider rationalisation of duties and taxes on imported mobile phones in the upcoming budget for 2026–27.

Overseas Pakistanis in the UAE and other countries contribute significantly to the South Asian country's economy, remitting billions of dollars every year.

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