The Federal Board of Revenue (FBR) has abolished the two percent additional customs duty on the import of 200 items including auto parts.
The FBR has issued a notification to this effect. The document notifies the removal of regulatory duty levied earlier on spare parts and raw materials used in auto parts.
The decision will come into effect from March 31. Moreover, the FBR officials opine that the regulatory duty on the import of polyester mats, car mats, and 12 other items has also been reduced significantly.
Regulatory duty on the import of raw material for the manufacturing of chocolate and gum has also been slashed to 15 percent, down 5 percent.
Earlier, the FBR officials gave a briefing in the Senate regarding tax reduction in the tobacco sector. They told the Upper House that Rs. 60 billion worth of tax has been lifted from the tobacco sector.
They said that last year’s tobacco import amounted to 10 million kilograms while tobacco’s annual consumption is 15 million kilogram in the country.
The officials also told that the Pakistan tobacco company is not engaged in tax evasion.