POST BUDGET CHANGES IN DIRECT AND INDIRECT TAXES
- Vide SRO 595(I)/2011 dated 10.06.2011, period of warehousing has been extended upto 30th June, 2011. Penal surcharge has also been remitted on the goods which will be cleared from the warehouse from 10.06.2011 to 30.06.2011.
- Vide SRO 601(I)/2011 dated 13.06.2011, rules for Pak-Afghan transit trade have been issued and Federal Board of Revenue has tried to plug the loop holes in the previous rules which resulted into a highly publicized scam of ISAF Container.
- Vide SRO 633(I)/2011 dated 18.06.2011, Federal Government has exempted white cement from levy of federal excise duty w.e.f. 01.07.2011. Previously, white cement was chargeable to duty @ Rs.500/- per MT.
- The Federal Board of Revenue vide its letter C. No. 6(1)2011-CB-89530 dated 21.06.2011 has reduced rate of sales tax on imports from 17% to 16% w.e.f. from 20.06.2011.
- Vide Punjab Finance Bill 2011 rate of sales tax on services has been reduced to 16%. This amendment was required to make rate of provincial sales tax at par with rate of federal sales tax.