Reduction in ST on tractors notified

The federal government has notified the reduction in sales tax on tractors from 16 percent to 5 percent with immediate effect. The sales tax will be charged at 10 percent effective January 01, 2013 and standard rate shall be applicable with effect from January 01, 2014.
Millat Tractors Limited, in an information sent to Karachi Stock Exchange on Thursday said this decision have very positive impact on demand and sale of tractors as the gradual increase in sales tax rate will be absorbed and accepted by the market.