When importing a mobile phone, one of the primary concerns among people is the taxes and duties applied to them. In recent news, the Federal Board of Revenue (FBR) has explained to the National Assembly’s Standing Committee on Finance how these taxes are actually levied, completely depending on the device value. Explore more about it in the blog.
Taxes on Imported Mobile Phones
The import taxes consist of the mobile levy, regulatory duty, sales tax, and withholding tax. It is also declared that the phone’s original price is decided through the valuation ruling – the government’s declaration on the set prices of customs on imported products. But in the situation where no valuation is present, the final price of the mobile is decided based on the import data of similar models from previous months.
The following are the taxes applied to different mobile phone prices:
| Phone Price | Mobile Levy | Regulatory Duty | Sales Tax (%) | Withholding Tax |
| $30 | Rs. 100 | Rs. 300 | 18% | Rs. 70 |
| $30 and $100 | Rs. 200 | Rs. 3,000 | 18% | Rs. 930 |
| $100 to $200 | Rs. 600 | Rs. 7,500 | 18% | Rs. 970 |
| $200 and $350 | Rs. 1,800 | Rs. 11,000 | 18% | Rs. 5,000 |
| $350 and $500 | Rs. 4,000 | Rs. 15,000 | 18% | Rs. 5,000 |
| Above $500 | Rs. 8,000 | Rs. 22,000 | 25% | Rs. 11,500 |
Conclusion
To sum up, the import of mobile phones experiences layers of taxes, including withholding tax, sales tax, and more. The next time you plan to purchase a luxury imported mobile phone, make sure you are aware of the taxes it will cost you.
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