ISLAMABAD: The Federal Board of Revenue (FBR) has not drafted any proposal to impose “Flood Levy” or any new taxation measures during the second quarter (October-December) 2022-23.

Sources told Business Recorder here on Thursday that presently no new taxation measures are under consideration of the FBR.

The FBR is not preparing any mini-budget and the draft of the new Ordinance would only extend the date of the Tax Laws (Second Amendment) Ordinance 2022 for the continuation of the additional taxation measures of around Rs 38 billion during 2022-23.

The FBR has drafted a new Ordinance 2002 for extension in the date of the Tax Laws (Second Amendment) Ordinance, 2022 promulgated on August 23, 2022.

Rs38bn additional taxation measures: Tax Laws (Amend) Ord may be extended for another 120 days

The new Ordinance has been forwarded to the Finance Ministry for onward submission to the National Assembly Secretariat. However, no new taxation measures are under preparation of the FBR.

The Tax Laws (Second Amendment) Ordinance, 2022 had taken additional taxation measures on the tobacco industry of Rs 36 billion, sales tax exemption to single cylinder agriculture diesel engines, exemption of Capital Value Tax for the passenger/goods transport vehicles and vehicles of foreign diplomats and foreign diplomatic missions and restoration of old tax scheme for small traders/retailers prevailing prior to Finance Act 2022.

Tax Laws (Second Amendment) Ordinance, 2022 would expire after 120 days, i.e., December 23, 2022.

The National Assembly is expected to pass a resolution for giving an extension of the Ordinance for another 120 days. The new ordinance may extend the date after the expiry of the Tax Laws (Second Amendment) Ordinance, 2022.

Copyright Business Recorder, 2022