In the upcoming fiscal year 2023-24, mobile phones are expected to become pricier due to the imposition of additional taxes on imported luxury items. The federal government plans to raise the duty on mobile phones valued at over $100, as well as on other imported products such as energy-saving lamps, chandeliers, and LEDs.
The government’s aim is to generate a revenue of 45 to 55 billion rupees by implementing a 25% sales tax on luxury items, including imported shoes, branded purses, imported sunglasses and fragrances, branded headphones, speakers, iPods, doors, windows, bath fittings, tiles, and sanitation products.
In addition, the sales tax on imported cosmetics, hair dyes, colors, and pet food will remain at 25% for the next fiscal year.
As a result of the increased taxes and levies on mobile phones and imported vehicles, consumers can expect to pay higher prices in the upcoming fiscal year 2023-24.