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Islamabad: On Thursday, December 30, Pakistani Prime Minister Imran Khan has convened a cabinet meeting to examine the 2021 supplemental finance bill.
The newest reports indicate that Finance Minister Shaukat Tarin would advise cabinet members on the imposition of a 17% sales tax on a number of commodities during the meeting.
In addition, a Federal Ministry of Finance (FBR) proposal will be discussed at the conference. According to the fifth list, the FBR advocated streamlining particular sales tax zeros and deductions.
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It also proposes limiting exclusions, including those in the pharmaceutical sector on the sixth list, with the emphasis that such exemptions should be limited to the local supply of imports and essentials.
In addition, FBR suggests increasing the tax rate under the eighth table for some items in order to achieve tax equity. In addition to reducing the scope of Tier 1 merchants, the ninth list also proposed streamlining the value-added tax on imports of Completely Build-Up (CBU) high-end mobile phones.
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In addition, the FBR has suggested revoking the customs broker’s ability to calculate the taxable price of imported items for the purpose of collecting duties and taxes on imported commodities. Sources indicate that the FBR recommends extending income tax exemptions to special purpose vehicles (SPVs) created by real estate investment trusts (REITs) under the 2015 REIT rules.
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