Home / Knowledge / News / Textiles / Pakistan's FBR: 2% sales tax on textile sector soon
Pakistan's FBR: 2% sales tax on textile sector soon
25
Feb '13
Pakistan’s Federal Board of Revenue (FBR) has indicated that it will soon issue a Statutory Regulatory Order (SRO) to impose two percent sales tax at every stage of the textile sector.
 
The FBR will also introduce a maximum 0.5 percent cap on sales tax refund on packing material used by the textile industry, FBR chairman Ali Arshad Hakeem said at a workshop on ‘Accelerating Tax Reforms’.
 
The two percent sales tax on the textile sector will, in effect, mean abolishing the zero-rate regime, Mr. Hakeem said during the discussion of the ‘Tax Policy Group’ at the international workshop.
 
He informed the Group, at the two-day workshop jointly organized by the World Bank and FBR, that the existing sales tax exemptions and zero-ratings would be withdrawn systematically, as it cannot be dismantled in one go.
 
He said the various industrial sectors in Pakistan enjoying tax exemptions and zero-rating know that such exemptions cannot last forever. The introduction of two percent sales tax on textile sector is a step to curtail tax exemptions in the country, he added.
 
The discussion of ‘Tax Policy Group’ centred on four key issues – the tax policy should be aimed at ensuring revenue adequacy; it should be fair, uniform and equitable; promote economic efficiency; and consistent while enabling simplification of tax structure.
 

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 25th May 2016

CAIT for joint coalition of trade & industry on GST

Proposing a joint coalition of trade and industry bodies, the...

Apparel/Garments | On 25th May 2016

New GS1 US rule blends e-commerce fulfillment methods

A new guideline focused on e-commerce and omni-channel fulfillment...

Courtesy- PVH Corp

Apparel/Garments | On 25th May 2016

PVH Corp & Grupo Axo announces joint venture in Mexico

PVH Corp, one of the largest apparel companies in the world and Grupo ...

Interviews View All

Milind Khandwe
Hindoostan Innovation Centre

Which areas of innovation is the Hindustan Innovation Centre (HIC) focused ...

Pinkesh Jain
Everflow Petrofils Ltd

What are the latest technological innovations in the spinning industry?...

Vasanth Kumar
Max Fashion India

What is the size of the apparel retail segment? How would you describe the ...

Johan Berlin
InvestKonsult Sweden AB

<i><b>Investkonsult Sweden AB has been buying and selling second-hand...

Eamonn Tighe
Nature Works LLC

<b><i>Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of ...

Silke Brand-Kirsch
Schlegel und Partner

<b><i>Silke Brand-Kirsch, executive partner of Schlegel und Partner, a...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
May 2016

F2F Magazine

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


Advanced Search