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Excise Duty on Electrical Goods

If you don’t know yet, starting next month onward some electrical goods and video games will start seeing price hike. Thanks to my friend who informed and forward the full PDF tax document from Ministry of Finance for me to view. I just caught wind of this news last week. After Brunei Times shutdown, I don’t feel like reading the only local news site anymore.

However, what I am surprise seeing the new excise duty for video games and consoles increase from 5% to 20% which is the highest among the electrical good's category. Apparently, the Government wants us to focus more on healthy lifestyle rather sitting at home playing video games all days. But is this part of the daily problem? For me, mobile phone gamers are far worst. Anyway since the Nintendo Switch is very expensive with few new games at launched. I’m okay with that and decide to delay buying next year if the price is right in Brunei.

Mobile phones and digital camera tax increase from 5% to 10%. For sure this is going to happen due to the increase numbers of new release models every year and there aren’t good methods for proper recycling. Photographers who plan to upgrade their digital cameras and accessories probably decide to wait during Hari Raya promotion. With additional 5%, I wonder...

The third and first time electrical goods for computer use such as cables, speakers etc will now include 5% tax. So every each hard disk, memory ram, CPU etc are included from now on if I am right. Can you imagine if I were to sell WIFI card for computer, which means I needed to pay AITI license (per year for each brand) and plus additional 5% tax. I think it’s official we are the most expensive wireless devices seller in Brunei.

Maybe for some of you thinking 5% doesn’t add much. I disagree and this is simply too early made decision that could hurt the smaller IT business owners. I feel they need more time. How are they going to make adjustment in their business strategy will be quite tricky ahead in noncompetitive market. We don’t have strong local produce skills in IT industry and now we are facing economics issue including facing layoff every month.

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