Budget 2016-17: Sales Tax on Laptops, Desktops Exempted

Government of Pakistan has exempted sales tax on imported Laptop and Desktops, budget documents have said.

Federal government, through finance bill 2016, has exempted sales tax on imported laptops and desktop personal computers.

Government said that Ministry of Information Technology had proposed exemption of sales tax on laptops and personal computers with a view to promote Information & Communication Technology
(ICTs) in the country.

Government hopes that this step will also promote genuine imports and will render informal and
illegal imports as uncompetitive.

Exemption of sales tax on laptops and desktops will be applicable from July 1st, 2016 onwards.

Tech reporter with over 10 years of experience, founder of ProPakistani.PK


  • ScarletCrimson

    Very good step, but it doesn’t mean much if they keep heavily taxing the internet.

  • Rizwan Yaqoob

    Does it mean I can order a laptop from an online store outside Pakistan and import here without paying extra penny to customs or government?

    • Good Question.

    • Sohail Mirza

      Someone please answer this question, can we import laptop without paying anything?

      • Muhammad Ashraf

        the only way is you have to go US or Canada and have to make purchase and bring it as a baggage

        • KMQ

          Ashraf bhai yeh tu pehle bhi hosakta tha, aap wahan jao purchase kar ke lao apne baggage main koi nahi pochta. Is tax exemption ke baad naya kia hoga?

      • AR

        Yes you can without paying sales tax but have to pay income tax and other duties and fees like pta fee.

      • Pakistani

        Well the structure of the duty is
        Customs Duty
        Sales Tax
        Add Sales Tax

        Now since the Custom Duty on the item is 2% and this product is Sales tax exempted that’s means that we have to pay only 2% on the Invoice value.

    • AbdulB1

      No, they just removed that sales tax. Not other kinds of taxes like wealth tax, custom duties, etc.

      • Ishtiaq

        How much was the sales tax before? Which now they removed, no mentioning?

        • 2%

        • Mirza Moazzam Baig

          Sales tax is 17% of the price of the thing.

          • Ishtiaq

            So you same rate of sales tax on laptop and machis ki dabbi? I thought it was different not flat rate.

            • Mirza Moazzam Baig

              That’s how sales tax is defined in income tax ordinance.

          • Zafar Abbas Rizvi

            Bro GST rate is 16 percent I think

    • CozYolo

      Sales tax refers to laptops brought in the country by retailers. They will be exempted to sales tax with every sale of laptop they transact later on.
      This does not mean that they will be exempted from Import Duty and Custom Duty.
      Same goes for someone who is importing a single laptop for personal use.
      The percentage of custom duty can be referred from the following FBR file.
      http://download1.fbr.gov.pk/Docs/20157101374641856Reupdated5thScheduleandCUSTOMTariff.pdf

    • Ashar

      There is still 3% Custom Duty on it.

      • Ashar

        Actually the duty is 3%…. 1% is additional duty imposed 3 months ago. So total 4% duties.
        6% Income tax is also applicable.

  • WAQAS AHMED

    so it’s mean we have to pay nothing any penny to customs or any other when product like laptop or PC arrived in Pakistan ? please some one confirm it !

    • Custom Duty of 2% is still there, its the 17% Sale Tax that is removed. Furthermore, costly items are usually shipped Express so you will still have to pay fees to the CAA and the local courier handling it.

  • Zawyar Ur Rehman

    So, if i order a laptop from, say, xoticpc, there will be 0 custom duty on it??

    • Custom Duty of 2% is still there, its the 17% Sale Tax that is removed.

  • Tariq Awan

    I don’t think that Custom Fee and Sales Tax are same thing.

    • Arslan Ejaz

      Yes that’s what I’m thinking custom duties, charges and sales tax are separate things. Writer should have explain that to avoid confusion

  • Abid Ali

    Aamir Bhai kya import duty deni paray gi?

  • Mirza Moazzam Baig

    No sales tax means 17% reduction In price of laptops … as far as duties go that still has to be checked

  • Rizwan

    Dear Amir bhai, any idea if the laptop sellers will actually reduce laptop prices as a result of this tax removal? And approximately how much the laptop prices will drop?

    Thanks.

    • Muhammad Ashraf

      all imports of gadgets are illegal they came as baggage hence no tax being paid for them so there will be no reduction of prices.

    • KMQ

      Rizwan bhai, yahan par jab petrol ki rates bharte hain tu sari chezon ke rates bar jate hain saying ke petrol mehnga hogaya. Aur jab sasta hota hai tu koi 1 ruppiya kam nahi karta kisi cheez par.

      • Ishtiaq

        KMQ kia Lee Market main smuggled Laptops aur phones mil rahe hain?

        • KMQ

          nahi sir leamarket pe tu tindey aur gobi hi milta hai :-)

          • Ishtiaq

            Phir chalou Hub se chaltay hain Chaman. Wahien se leke aatay hain laptops aur dosray electronics.

  • Leo

    When a product is imported in Pakistan we have to pay, Custom Duties (CD), Sales Tax (ST), Income Tax (IT) + Federal Excise Duty (FED).

    Assuming that CD is 10%, S.Tax is 17%, I.Tax is 6%, one might feel the total is only 33% (add all of these) but it is not 33% but around 55% or more.

    Formula for this is explained in simple terms as below,

    (Accepted Invoice value + freight) x 10% CD
    (Accepted Invoice value + freight + 10 CD) x 17% S.Tax
    (Accepted Invoice value + freight + 10 CD + 17% S.Tax) x 6% I.Tax.
    FED is a small percentage like 0.35 ~ 0.5% of the above total depending upon the nature of product.

    Accepted Invoice value is supposed to be market value of the product in the market, if you mention $ 100 product (Under Invoicing) as $10 on the accompanying invoice, it will not be accepted by customs and they have the authority to use their own price in such cases.

    As per the new budget proposal only 17% S.Tax will not be payable but it will be used for calculating the balance of duties.

    • faizee

      bro didnt understand this last sentence “As per the new budget proposal only 17% S.Tax will not be payable but it will be used for calculating the balance of duties.”

      “17% sales tax will not be payable ” but it will be used for calculating the balance of duties?
      “what u mean by balance of duties? ”
      am asking cuz my del 7559 is already on its way to pak thru dhl

      • Ali

        Has it arrived yet? How much extra did you have to pay?

      • Abid Ali

        Bro What happened to your laptop? What duties and taxes have you paid?

  • Uzair Siddiqui

    Sales Tax buisness effect ho ga. Jo Sales Tax Invoices baichty they

  • Rawal Baig

    Sales Tax is exempted, but W.H Tax custom duties etc or still there :D lollipop

  • KMQ

    Acha ab yeh bhi bata dain ke is Sales Tax main kami ke baad customer ko koi benefit hoga ya phir sellers khud hi sara faida le jaenge?

  • Admin request for you if u calculate or search the new prices of laptop from 1 July so we know how much we can save Thanks

  • Muhammed Ovais Alam

    The law is only good when it’s applied.
    Laptop ‘walay’ price kam krain to koi baat ho.

  • bishart

    bcos of the showbaz sharif laptp scheme,,,is tarah kamai keringe ganjay..

  • hassan murat

    Everyone is talking about the reduction of sales tax but not the prices. Suppose if we go to buy a used i3 or i5 code core laptop how much do we pay to get it after July 2016? Thanks

  • hassan murat

    What is the reliable market of used laptops in Karachi? Your suggestion will be appreciated .

  • hassan murat

    Can we buy a good used lap top i3 or i5 category under ten thousand ruppees

  • faizee

    mr amir atta
    care to mention the SRO number regarding this new update on sales tax exemption so that ur news can be verified through fbr portal

    • Awais Butt

      Cuctoms Duty 2 % (Reduced 3% to 2%)
      Sales Tax 0 % ( Rduced 17 % to 0 %)
      Income Tax 6 % ( Commercial File, if not, 9%)
      Additional Customs Duty 1 % ( Added this year )

      For SRO, email me, [email protected] / Customs Consultancy Agenccy

  • Ali

    anyone have Notification on “Exemption sales tax on imported Laptop and Desktops”. If yes pls mail me on [email protected]

  • Danish Hussain

    https://uploads.disquscdn.com/images/bfad5ae8f87891f6c859bc34934144f7fb013770a5bce6a2031534dd397f7bf1.png

    According to FBR , there is no other tax on importing a laptop other than W.H tax which is 5.5% of the total value of the laptop. I’ve asked twice