Smartphones Price Hike: Smartphones will soon be expensive in the country, know the reason

Made in India Smartphones: If you are fond of mobile then this news can shock you. Yes… in the coming time the price of mobile in the country may increase. It is being speculated after a statement by the Central Board of Indirect Taxes and Customs (CBIC). In fact, it has been said by the CBIC that basic customs duty (BCD) will be levied at the rate of 15 percent only on the import of mobile phone display assembly that comes with parts like speaker and SIM tray. CBIC has given clarification in this regard in a circular. Let us tell you that at present, customs duty is levied at the rate of 10 percent on the import of mobile display assembly unit. But no duty is levied on the import of individual components used in the display assembly. Talking about the display unit of a mobile phone, it includes parts like touch panel, cover glass, LED backlight and FPC. On behalf of the CBIC, it has been said that incidents of giving wrong information in the import of display assemblies have been coming to the fore. To overcome this situation, it has been decided to change the BCD. A circular has been sent by CBIC to its regional offices in this regard. In this, the CBIC has said that if the display unit of a mobile phone is imported only with a back support frame made of metal or plastic, then it will be taxed at the rate of 10 percent. However, if the back support frame made of metal or plastic is imported separately, customs duty will be levied at the rate of 15 per cent. It has been clearly stated by the CBIC that the benefit of BCD at the concessional rate of 10 percent will not be available for the display assembly and other equipment attached to it. Saurabh Agarwal, tax partner, EY India, said that with this move, the situation before the mobile phone manufacturers regarding import of display assemblies will now become clear. Mobile phone industry body India Cellular and Electronics Association (ICEA) said that this circular will send a positive message to all investors, Indian and foreign. The organization’s chairman Pankaj Mohindroo said that this circular is a big relief for the industry and it will not create unnecessary disputes.

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