Upto 100 percent duty cut on hybrid cars announced

The government has announced major reduction in duties and taxes on the import of the Hybrid Electric Vehicles (HEVs) ranging from 25 to 100 percent, depending on their engine capacity. Under the Finance Bill (2013-14), to encourage hybrid vehicles for conservation of fuel withholding tax on import of hybrid cars with engine capacity up to 1200CC has been exempted to provide incentive and relief.
Similarly, withholding tax on HEVs up to 1800CC has been reduced by 50 percent and 25 percent for vehicles up to 2500CC. The customs budget focused on relief to general public, encouraging growth and investment, reducing cost of doing business and improving regulation and enforcement. The FBR has tightened the regulatory control on exempt/concessionary import of agricultural machinery, tourism sector, packaging industry and pharmaceutical sector to ensure that the benefit is availed by bona fide importers only. Editorial changes for simplification of concessionary SROs is also being made to remove duplications, spelling errors or redundant entries.
Customs measures revealed that the government has allowed duty free import of "bio re-absorbable vascular scaffold" (heart stents) to decrease their cost for heart patients. The FBR has increased customs duty on betel nuts from 15 percent to 20 percent and betel leaves from Rs 200/kg to Rs 300/kg to discourage their use on account of adverse health effects.
Exemption of duty and sales tax on energy saving tubes presently @ 20 percent has been made to encourage use of energy efficient electrical equipment. The FBR has streamlined and deregulated the procedure for exempt import of renewable energy resources compatible equipment to promote their use and incentivise investment in this field. The government has allowed duty & sales tax free import of solar submersible pumps presently @ 20 percent duty to encourage use of energy efficient electrical equipment. The FBR has reduced duty on water treatment & purifying machinery and equipment from 20 percent to 15 percent to make them accessible to general public.
The FBR has streamlined procedure for re-import of machinery & equipment sent abroad for repair etc by industrial importers and reduced customs duty on Medium Density Fiber (MDF) Board. The FBR has also created separate PCT codes of newly indigenized vehicles to incentivise local auto industry. The new PCT codes have been created for classification of satellite phone and water dispenser to reduce classification disputes and improve import statistics. The FBR has done editorial corrections of description and classification in the tariff.