Government reduces burden of indirect tax on trade, industry

Trade and industry

ISLAMABAD: In order to facilitate trade and industry in the country Federal Government has reduced the burden of indirect taxation in the budget for financial year 2011-12 announced complete abolition of Special Federal Excise Duty and reduction of Sales Tax rate from 17% to 16% effective from July 01, 2011, said FBR Spokesperson here on Tuesday.

However, with a view to further facilitate the trade and industry in difficult times, it has been decided to give effect to these two measures on imports as well from June 20, 2011. Consequently, there will be no special excise duty on imports and the rate of sales tax on imported goods shall be 16% with effect from June 20, 2011.

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