AGL 40.00 No Change ▼ 0.00 (0%)
AIRLINK 129.00 Decreased By ▼ -0.53 (-0.41%)
BOP 6.76 Increased By ▲ 0.08 (1.2%)
CNERGY 4.50 Decreased By ▼ -0.13 (-2.81%)
DCL 8.70 Decreased By ▼ -0.24 (-2.68%)
DFML 41.00 Decreased By ▼ -0.69 (-1.66%)
DGKC 81.30 Decreased By ▼ -2.47 (-2.95%)
FCCL 32.68 Decreased By ▼ -0.09 (-0.27%)
FFBL 74.25 Decreased By ▼ -1.22 (-1.62%)
FFL 11.75 Increased By ▲ 0.28 (2.44%)
HUBC 110.03 Decreased By ▼ -0.52 (-0.47%)
HUMNL 13.80 Decreased By ▼ -0.76 (-5.22%)
KEL 5.29 Decreased By ▼ -0.10 (-1.86%)
KOSM 7.63 Decreased By ▼ -0.77 (-9.17%)
MLCF 38.35 Decreased By ▼ -1.44 (-3.62%)
NBP 63.70 Increased By ▲ 3.41 (5.66%)
OGDC 194.88 Decreased By ▼ -4.78 (-2.39%)
PAEL 25.75 Decreased By ▼ -0.90 (-3.38%)
PIBTL 7.37 Decreased By ▼ -0.29 (-3.79%)
PPL 155.74 Decreased By ▼ -2.18 (-1.38%)
PRL 25.70 Decreased By ▼ -1.03 (-3.85%)
PTC 17.56 Decreased By ▼ -0.90 (-4.88%)
SEARL 78.71 Decreased By ▼ -3.73 (-4.52%)
TELE 7.88 Decreased By ▼ -0.43 (-5.17%)
TOMCL 33.61 Decreased By ▼ -0.90 (-2.61%)
TPLP 8.41 Decreased By ▼ -0.65 (-7.17%)
TREET 16.26 Decreased By ▼ -1.21 (-6.93%)
TRG 58.60 Decreased By ▼ -2.72 (-4.44%)
UNITY 27.51 Increased By ▲ 0.08 (0.29%)
WTL 1.41 Increased By ▲ 0.03 (2.17%)
BR100 10,450 Increased By 43.4 (0.42%)
BR30 31,209 Decreased By -504.2 (-1.59%)
KSE100 97,798 Increased By 469.8 (0.48%)
KSE30 30,481 Increased By 288.3 (0.95%)

The Federal Board of Revenue (FBR) has proposed doubling of sales tax from 5 to 10 percent on wide range of machinery and equipment/apparatus irrespective of its type in the coming budget (2015-16). Sources told Business Recorder that the proposal has been finalised by the budget makers here on Wednesday and it depends on the government to accept it or not.
It is proposed to enhance sales tax from 5 to 10 percent on machinery/equipment mentioned in the Eight Schedule of the Sales Tax Act. If the proposal is accepted by the government, Finance Bill (2015-16) would amend the Eight Schedule of the Sales Tax Act, containing items subjected to 5 percent duty.
Under the Eight Schedule of the Sales Tax Act, 5 percent sales tax is applicable on the import of plant and machinery not manufactured locally and having no compatible local substitutes. Five percent sales tax is also applicable on the import of machinery and equipment for development of grain handling and storage facilities; cool chain machinery and equipment; items imported by Call Centers, Business Processing Outsourcing facilities duly approved by Pakistan Telecommunication Authority including telephone sets/head sets, (2) cat 5/Cat 6/Power cables, PABX Switch, Plasma TV; dedicated telephone exchange system for call centers and other digital cell recorders; machinery, equipment, materials, capital goods, specialised vehicles (4x4 non luxury) ie single or double cabin pickups, accessories, spares, chemicals and consumables meant for mineral exploration phase; construction machinery, equipment and specialised vehicles, excluding passenger vehicles, imported on temporary basis as required for the exploration phase.
Five percent sales tax is also applicable on the import of complete plants for relocated industries; Machinery, equipment and other capital goods meant for initial installation, balancing, modernisation, replacement or expansion of oil refining (mineral oil, hydro- cracking and other value-added petroleum products), petrochemical and petrochemical downstream products including fibers and heavy chemical industry, cryogenic facility for ethylene storage and handling; Proprietary Formwork System for building/structures of a height of 100 ft and above and its various items/components consisting of the following, namely:- (1) Plastic tubes, (2) Plastic tie slot filters/plugs, plastic cone; (3) Standard steel ply panels, Special size steel ply panels, wedges, tube clamps (B-Type & G Type), push/pull props, brackets (structure), steel soldiers (structure), drop head, standard, prop tic, buard rail post (structure), coupler brace, cantilever frame, decking beam/Infill beam and doorway angles, lifting unit (Structure), bolts, tie bolts, anchor bolt assembly (fastener), anchor screw (fastener), nuts, steel pins, tie wing nut (fastener), steel washers, water plate (fastener), adjustable base jack (thread rod with nut and steel plate), adjustable fork head (threaded rod with nut and steel channel).

Copyright Business Recorder, 2015

Comments

Comments are closed.