The question of withdrawal of stamp duty on airline tickets has been taken up by the Governor of Sindh, Dr Ishrat-ul-Ibad.
The Additional Secretary to the Governor has, in a letter to the Provincial Finance Minister, has informed him that the Governor has desired that the Sindh Chief Minister may be requested by the Provincial Finance Department for reconsideration of the matter after stating all facts and figures.
The issue has been taken up on a representation made by the Travel Agents Association of Pakistan (Taap) to the Governor, informing him that previously Sindh and other provinces have levied stamp duty on airline tickets.
Later, other provinces withdrew the said duty, while in Sindh it was still being charged, creating discrimination and unequal treatment against the passengers getting airline tickets in Sindh province, said the Taap.
The Taap further said the anomaly had also affected the business of travel agents in Sindh, especially Karachi.
The Governor observed that while the provincial government was not earning very significant amount from the stamp duty, it had resulted in the discrimination against the passengers buying tickets from Sindh and the business of travel agents in the province.
He, therefore, desired that to ensure fair deal to the passengers and level playing field for travel agencies in the province, it was imperative to review the situation.
In December 2001 and again in September 2002, the Deputy Chief Inspector of Stamps, Karachi, said that the Sindh government, through the Stamp (Sindh Amendment) Ordinance, 2001, had revised the rates of payment of charging of stamp duty on airline tickets from November 2001 for which a new Article-6 had been inserted in schedule-1 to the Stamp Act, 1899 as under:
-- Domestic Rs 25, International Rs 250.
Previously, Sindh and Punjab governments levied stamp duty on the air tickets alike. In August 2000, the Punjab government remitted this duty on air tickets for domestic as well as international flights.