There is a minimum value set for VAT by the EU of 15% (where 'set by the EU' means the EU member states together agreed on it). Though this 15% was pretty much the lowest rate within the EU when the directive was drafted. Additionally member countries can set lower rates for groups of products (eg, food is often taxed lower).As far as I know, there are no EU tax laws regarding the VAT. It is an usual misconceptions that EU regulate taxes in member countries. For non-EU readers, we pay the taxes according to the country we live in. Then a fraction of the taxes is payed by the respective country to EU for various benefits so some of these money is going back to the countries.
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Since the iPhone is manufactured in China, import duties are also applied when it is sold in the U.S. (though they are fairly low).It’s not only about your local tax but import duty tax on foreign goods. Here in India it ranges from 20-400% to protect local companies. The X costs $ 1450 in India.
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