ISLAMABAD: The Federal Board of Revenue (FBR) has fixed higher values of locally-produced steel and scrap products for collection of sales tax during 2021-22.

Through an SRO985(I)2021 issued by the FBR, here on Thursday, the fixation of enhanced values would result in collection of increased sales tax from the specified steel products.

According to the SRO issued by the FBR, in exercise of the powers conferred by the second proviso to clause (46) of Section 2 of the Sales Tax Act, 1990, the FBR is pleased to fix the values in respect of locally-produced goods for the purpose of payment of sales tax on ad valorem basis.

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Under the notification, the FBR has fixed Rs140,000 per metric ton value of steel bars and other long profiles; Rs125,000 per metric ton steel billets; Rs120,000 per metric ton value on steel ingots/Bala; Rs120,000 per metric ton value on the ship plates and sales tax value has been fixed at Rs118,000 per metric ton on other re-rollable iron and steel scrap.

In case the value of supply of the goods specified in SRO985(I)2021 is higher than the values fixed herein, the value of goods shall be the value at which the supply is made, the notification added.

Copyright Business Recorder, 2021