Total amount of Rs 139.6 billion has been collected from large scale manufacturing (LSM) sector in the country under the head of sales tax during 2009-10 (up to March, 10). In written reply to a question, the Finance Ministry on Thursday told the National Assembly that the expected amount of revenue from large scale manufacturing sector up to June 30, 2010 is Rs 204 billion.
Indirect taxes are inflationary in nature. However, rise in large scale manufacturing results in lower consumer prices due to lower cost of production, hence, the impact is anti-inflationary in nature.