NBR exempts advanced tax on import of computer components

The government has exempted advanced tax (AT) on the import of computer components and accessories to promote local production of the device.

From now on, the domestic manufacturers would enjoy the tax exemption at the import stage which was earlier levied at a rate of 5.0 per cent.

The National Board of Revenue (NBR) issued a Statutory Regulatory Order (SRO) in this regard recently.

Currently, computer makers enjoy exemption on payment of value-added tax (VAT) at the production stage.

AT on computer manufacturers is refundable.

Officials said the VAT authorities have to deal with huge refund claims from the manufacturers for this AT.

The latest waiver would help save time and cost of both local manufacturers and VAT officials.

The items entitled to the AT exemptions are computer, printer, laptop, RAM, router, network switch, hard-disk, pen drive, CCTV, monitor not over 22", projector, data cable, and loaded PCB among others.

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