Taxes like ICMS, IPI, and COFINS raise the price of iPhones and other cell phones in Brazil
Photo: Apple / Disclosure
–
–
Taxes too high on iPhone
The main reason for explaining the high prices of iPhone in Brazil there is already a consensus: taxes are many, and very high, in the country. According to Anderson Costa de Souza, professor of administration and human resources at Fundação Getulio Vargas (FGV), in general, mobile phones are subject to two taxes and two contributions.
The taxes are the tax on industrialized products (federal IPI) and the tax on the movement of goods and the provision of services (state ICMS). The contributions are those of the PIS (Social Integration Program) and of the COFINS (Contribution for the Financing of Social Security).
In the case of imported mobiles, like most iPhonea third federal tax is also levied: the Import Tax – II, which will increase the calculation basis for all the other aforementioned taxes.
A survey conducted last year by the couponValido.com.br discount portal also showed that Brazil is the country where iPhones, iPad, AirPods And MacBook they are the most expensive in the world. About 40% of the price of an iPhone, according to the survey, only goes to pay the tax burden. However, according to a 2021 Panorama Mobile Time / Opinion Box survey, Apple holds a loyal 13% share of market sales.
Comparing with other companies like SAMSUNG (43%) e Motorola (22%), who owns a larger share of Apple in Brazil, Souza says that “certainly one of the factors that contributes to ensuring that the number of holdings is not the highest is the price of the product charged.”
Although the iPhone has still suffered a reduction in sales volumes due to the price, the values are so high that the company’s profit remains positive. For them the profit margin was very good, because even if they sell fewer devices, each of them gives a very high income.
The exchange rate and the high dollar increase the value of Apple’s mobile
There is yet another contributing factor negatively, which is the exchange rate, especially as the dollar rises. Currently, one dollar is equivalent to R $ 5.15. That is why the famous phrase “whoever converts does not have fun”. In fact, the price of i phone it goes up a lot with such a high dollar compared to the real thing, making it a coveted purchase in US travel.