Sunday, June 29, 2025
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Government Imposes 25% Tax on Imported Mobile Phones

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The government has announced a 25% sales tax on the import of mobile phones in completely built up (CBU) condition valued above $500, as per the updated Sales Tax Act 1990 issued on Tuesday.

According to the amended Sales Tax Act, mobile and satellite phones with an import value above $500 per unit, or the equivalent value in rupees if supplied by the producer, will incur this 25% tax. Mobile phones in CBU condition at the time of import or registration (IMEI number by CMOs) will be subject to this tax. In contrast, CBU phones valued at less than $500 will face an 18% sales tax.

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Additionally, locally manufactured mobile phones in CBU condition will also be subject to an 18% sales tax, as will imports in Completely Knocked Down (CKD) or Semi-Knocked Down (SKD) condition.

The sales tax rate will remain 18% for imports in CKD/SKD condition and for the supply of locally manufactured mobile phones in CBU condition, regardless of their value.

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