Apple iPhone XS / XS Max Tax or Customs Duty in Pakistan

Do you want to know how much duty and tax you’ll have to pay in Pakistan for an Apple iPhone XS or XS Max? Chances are, if you’re reading this blog post, you do! This article is here to provide a comprehensive guide on the taxation of iPhone XS / XS Max purchases in Pakistan. We’ll explain each step, from payment duties and taxes all the way up through shipment details and order tracking. Rest assured that by the end of this blog post, you will feel secure knowing that your new purchase won’t get stuck at customs and all details regarding tax compliance will be taken care of so you can enjoy your new device with peace of mind. Let’s dive into it then!

PTA Taxes on iPhone XS and iPhone XS Max

iPhone ModelsPTA taxes on Passport (PKR)PTA taxes on CNIC (PKR)
iPhone XS 115,333139,516
iPhone XS Max118,610143,121

The Pakistan Telecommunication Authority (PTA) imposes certain taxes on iPhone models such as the iPhone XS and iPhone XS Max. If you are planning to register your iPhone XS on your passport, you’ll have to pay PKR 115,333 whereas the tax rises to PKR 139,516 for registration on CNIC. For the iPhone XS Max model, the tax imposition is slightly higher, with PKR 118,610 for passport registration and PKR 143,121 for CNIC registration. It’s important to be aware of these costs in addition to the price of the phone itself.

PTA Approved on iPhone XS and iPhone XS Max Prices

The Pakistan Telecommunication Authority (PTA) has finalized the tax provisions for the iPhone XS and iPhone XS Max. The base price in Pakistan is Rs. 167,499. The customs duty is a fixed rate of PKR 250. The regulatory duty comes to PKR 33,500. The sales tax is PKR 1,500, with an additional fixed sales tax of 3%, equating to PKR 5,025. The IT duty is set at 9%, resulting in PKR 15,075. The mobile levy is PKR 5,000. Lastly, the provincial tax is 0.9%, totaling PKR 1,507. This brings the total tax to approximately PKR 61,857. Please be aware, taxes are estimates and may vary by 5-17%, but not more.

The imposition of these substantial duties and taxes has drawn significant criticism from consumers and stakeholders within the tech industry. The exorbitant PTA tax, which forms half of the device’s value, coupled with the 15% Customs Duty and 17% Sales Tax, amplifies the financial burden for consumers eager to own the latest iPhone models. Additionally, smaller yet meaningful taxes like the Federal Excise Duty (FED) and Provincial Sales Tax (PST) add to this strain. With the total tax rate amounting to an astonishing 82% for an iPhone, it’s clear that acquiring the newest iPhone versions can be a financially challenging endeavor for a vast number of Pakistani consumers.

Before finalizing your purchase, it’s recommended to evaluate the entire process involved in importing an iPhone XS or XS Max into Pakistan. This includes understanding the import duties, taxes, as well as the registration process with PTA. Ensure that you are well-aware of the potential costs involved in purchasing a high-end iPhone model in Pakistan. Be careful of fraudulent sellers who may not disclose all relevant costs. It’s safer to purchase from a trusted and recognized seller, even if that means paying a bit more.

The actual cost of an iPhone XS or XS Max is not just the price paid to the seller; it also includes the customs duties, taxes, and PTA registration charges. Also, keep in mind that high-end smartphones, including iPhone XS and XS Max, are more heavily taxed than lower-end models. Buying these phones may be an expensive proposition due to the high taxes involved, but it’s a price many are willing to pay for the prestige and functionality these premium smartphones offer.

Duty and Tax Rates on Mobile Phones (2024) Applied with Passport

The duty and tax applied on mobile phones are varied and dependent on the value of the phone. For phones valued between $1 and $30, the duty and tax rate is PKR 550. For phones valued between $31 to $100, the applied rate is PKR 4323. Phones priced between $101 and $200 have a duty and tax rate of PKR 11561.

The duty and tax rate increases for more expensive phones. For those priced between $201 and $350, the applied rate is PKR 14661, plus an additional 17% Sales Tax Ad Valorem. For phones valued between $351 and $500, the applied rate stands at PKR 23420, with an added 17% Sales Tax Ad Valorem.

For high-end phones priced at $501 and above, the applied rate jumps to PKR 37007, with a further 17% Sales Tax Ad Valorem. To illustrate this, consider an iPhone XS priced at $800 in the US. The Cost & Freight (C&F) value of the phone would fall into the highest tax slab. In addition to this, a 17% Sales Tax Ad Valorem would also be levied.

Please note that these tax rates are based on current legislation and may change in the future. It’s important to register your mobile phone with your National Identity Card (CNIC) or passport within 60 days of its arrival in the country to avoid legal issues.

Conclusion:

To summarize, we have discussed how the introduction of Apple’s iPhone XS and iPhone XS Max brought changes to the taxation and customs duty structure in Pakistan. We hope this article provided valuable insight into why there are taxes or duties on the import of Apple iPhones in Pakistan.

The decision by Apple to keep its prices similar across all markets is an encouraging sign for shoppers around the world, not just in Pakistan. It’s important to understand these laws and regulations before you purchase any phones as it can help you avoid unwanted cost or legal trouble down the line. Now that you more accurately know what taxes or customs duty are associated with the import of iPhones into Pakistan, you can make a more informed decision about your purchase. So don’t hesitate – go ahead and choose your dream iPhone today!

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