ISLAMABAD: The government has retrospectively restored sales tax exemption on the import of goods by the United Nations and diplomatic missions from January 15, 2022.
Through the Finance (Supplementary) Act 2022, the imports by diplomats, diplomatic missions and other privileged persons were rendered taxable.
According to the Finance Act 2022, sales tax exemption has been granted on the goods imported by various agencies of the United Nations, diplomats, diplomatic missions, privileged persons and privileged organizations which are covered under various Acts and, Orders, rules and regulations made thereunder; and agreements by the Federal Government.
Tax exemptions cost govt over Rs1.757trn
Provided that such goods are charged to zero-rate of customs duty under the Customs Act, 1969, and the conditions laid therein.
Provided further that exemption under this serial shall be available with effect from January 15, 2022.
The sales tax exemption would also be applicable on the goods imported by or donated to hospitals run by the non-profit making institutions subject to the similar restrictions, limitations, conditions and procedures as are envisaged for the purpose of applying zero-rate of customs duty on such goods under the Customs Act, 1969, FBR added.
Copyright Business Recorder, 2022
Comments
Comments are closed for this article.