2 min read
In recent news, the Directorate General of Customs Valuation Karachi has fixed custom values of old and used computers to a much higher side. This even includes system accessories, peripherals and any other add ons that may be included with the computers.
The minimum customs values for all used computers have been fixed for the sole purpose of the assessment of duties and taxes. However, this inevitably hampers the business of the computer industry. Hence, the computer industry strongly opposed this valuation ruling as it would affect the business side of things and further deprive students to pursue education from home. This further creates problems for the working individual as most of the industries now implement the work from home methodology during these unprecedented times.
Furthermore, this badly affects an importer’s business as they utilize these used devices to gain profit and maintain their respective businesses. According to the ruling number of 1519 of the year 2021 issued by the Directorate General, all items and goods which involved variations in values in exporting countries were to be observed.
This even included an exercise that was implemented to determine the customs values of all respective computer devices and their accessories of all origins under section 25-A of the Customs Act, 1969. Moreover, the importers and the stakeholders in the computer industry were requested to submit their proposals with the necessary documents.
In an emergency meeting held on Tuesday, Munawar Iqbal, former senior vice chairman Islamabad Chamber of Commerce & Industry and former executive member of Federation of Pakistan Chambers of Commerce & Industry (FPCCI) expressed his concern over the high valuation on the import of used computers. This increase was nearly up to 40 percent which was imposed by the valuation department without even consulting the IT importers and stakeholders.
The meeting concluded with a demand to the higher authorities of the government and the Prime Minister to intervene in the matter and immediately withdraw the new valuation ruling on the used computers to enable the further acceleration of the industry in the new digital ecosystem and allow students to pursue their online education without any issues. This would also create a lot of ease for the stakeholders in the IT industry.
