Technology

DIRBS Fetches Whopping Rs 45.4bn Tax from Mobile Phones – FBR

FBR DIRBS Mobile Tax

Device Identification Registration and Blocking System (DIRBS) developed by Pakistan Telecommunication Authority (PTA) has assisted in generating an enormous Rs 45.4 billion tax from the mobile phone market in the year 2020 according to the Federal Board of Revenue (FBR).

The DIRBS system based on Qualcomm open source was launched to eradicate the free movement of fake and smuggled mobile imports and set a ground where local and international mobile brands can compete on an equal basis.

The DIRBS system which was launched last year has started providing benefits for Pakistan’s economy as the system is blocking counterfeit and illegal imports of mobile brands and enables a quick way to collect tax revenues even in the recession period.

Here are the figures by FBR officials related to mobile tax revenues generated by the DIRBS system in the country.

In the Financial Year 2020 (FY20) around 1.38 million mobile phones have been registered through the DIRBS system. The Federal Board of Revenue collected a total of Rs 7.04 billion in revenues between Jan 2019 and August 2020 in the individual category with the following brands.

Brand Number of Registrations 
Nokia 923,451 
Samsung 700,865 
Apple 299,244 
Huawei 118,665 
Honor 22,980 
Lenovo 9,595 
One+ 4,755 
Oppo 3,665 
Others 383,780 

As per FBR reports the commercial import of around 19.8 million devices was made in FY20 and through their registration, FBR gained Rs 39.414 billion revenue from commercial imports during the year.

To further enhance the mobile market and understanding the DIRBS importance in the Pakistani market the Federal government approved the first mobile phone manufacturing policy in May 2020. Through the policy, it is very convenient for local and foreign investors to start establishing manufacturing plants in Pakistan.

Read more: Samsung to set up smartphone assembly plant in Pakistan

The Minister of Economic Affairs Hammad Azhar also expressed his opinion regarding this matter that through the establishment of local assembly, it will not just create jobs for citizens of Pakistan but also feasible for OEMs while making devices with low labor rates. As a result, the final product price will be economical and consumers can buy the product by paying less.

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