ISLAMABAD: A Senate committee has recommended an immediate reduction in taxes on imported mobile phones, amid concerns over the mechanism used to determine their prices and the resulting burden on consumers.

The recommendation was made during a meeting of the Senate Standing Committee on Cabinet Secretariat, chaired by Senator Rana Mahmood-ul-Hassan in Islamabad.

The committee discussed the agenda concerning the valuation of imported mobile phones and the procedures used to determine their taxable value.

Officials from the Pakistan Telecommunication Authority (PTA) told the committee that Customs authorities would need to develop a clear mechanism for determining the prices of imported mobile phones.

The committee subsequently directed Customs officials to formulate a mechanism for determining taxes applicable to imported handsets.

Senator Abdul Qadir questioned whether mobile phones should be taxed at all, saying policymakers needed to reconsider the existing taxation approach.

The committee called for an immediate reduction in taxes on imported mobile phones, reflecting growing concerns over handset affordability and the impact of taxation on consumers.

The move could provide relief to consumers, particularly those seeking smartphones in a market where higher taxes and import-related costs have pushed up retail prices.