FBR extends depreciation limit

ISLAMABAD: The Federal Board of Revenue (FBR) has enhanced the maximum limit of depreciation to 60 per cent for import of used or second-hand trucks, agricultural tractors, buses and vans.

The decision has been taken in line with a similar decision taken by the Economic Coordination Committee (ECC) of the Cabinet in its meeting held on April 26, said an FBR press release here on Saturday.

The ECC while considering the summary regarding "Rationalizing the Prices of Locally Manufactured Cars" decided to enhance the maximum limit of the depreciation to 60 per cent on the import of used/second-hand trucks, agricultural tractors, buses and vans.

In order to implement ECC's decision, the Federal Board of Revenue issued Customs General Order No. 04/2011, dated May 19, 2011 amending the parent CGO 14/2005 dated June 6, 2005, enhancing the maximum limit of depreciation has been enhanced to 60 per cent on the import of used/second hand trucks, agricultural tractors, buses and vans at the rate of 2 per cent per month.

Copyright APP (Associated Press of Pakistan), 2011