Phas Gaye Yaaro is a horror comedy-drama that revolves around a small-time underworld don Salimbhai (Mast Ali) and his associate Ajjubhai (Aziz Naser) who are on a vacation in Goa where a Hollywood producer Martin Spielberg is looking for a special man who can play the lead in his horror movie. Salimbhai is selected as the lead who along with his associate Ajjubhai reaches a haunted resort to shoot their film where every night a male film crew member is taken away by a witch and the next morning their underwear is received in a parcel box. What happens next, is the resort really haunted or there is something else behind this mystery?