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Abstract :
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Affordable smartphones are a prerequisite for digital inclusion, enabling participation in the digital economy and facilitating access to healthcare, education and financial services. Access to a smartphone is not a luxury - it is a lifeline to essential services and income opportunities. The GSMA report, Accelerating Smartphone Adoption Through Tax Reform: Evidence from South Africa, examines the impact of South Africa's removal of the 9% ad valorem luxury excise duty on entry-level smartphones in April 2025. The findings provide evidence that targeted tax reforms can support smartphone adoption among low-income users and help narrow the usage gap.
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