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China: the on-off gadget import tax

If you live in China and regularly travel abroad, there is one rule you will be familiar with: Don’t buy your electronic gadgets here.

Everything from iPhones to notebook computers come with a hefty markup, and popular devices are introduced with long delays. For savvy travelers, the best option has always been to bring electronics from Hong Kong or even the US. But this is no longer a wise choice; China customs is becoming more diligent about enforcing an electronics import tax. The China Customs website warns that travelers carrying an iPad must pay a Rmb1000 (approx. US $150) in import tax, and a host of other electronics devices will also be taxed even if brought in for personal use.

This is a no brainer from the government’s standpoint. The smuggling of electronic gadgets like handsets, tablet computers and game consoles is so rampant that the ‘grey market’ for many of these devices already exceeds the amount sold through regular distribution channels.

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