ISLAMABAD: The Federal Board of Revenue (FBR) has fixed minimum retail price of cement for the purpose of payment of sales tax by cement industry.
The new mechanism for fixation of minimum retail price of cement would be applicable from May 1, 2025.
In this regard, the FBR has issued an S.R.O. 746(I) 2025 here on Tuesday.
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Explaining the rationale behind the decision, sources told Business Recorder that the move would curtail massive under-invoicing by cement manufacturers and the prices would be as published by the Pakistan Bureau of Statistics. The minimum retail price would be the average national retail price of cement as last published by the PBS.
According to the notification, in exercise of the powers conferred by the first proviso to clause (46) of section 2 of the Sales Tax Act, 1990, the FBR has fixed the minimum retail price to be the average national retail price of cement as last published at Pakistan Bureau of Statistics (PBS) website (weekly sensitive price indicator - SPI) before the first and 16th of every month for respective fortnight starting on first and 16th of every month for the purpose of payment of sales tax, at the rate as applicable to and specified in clause (a) of sub section (2) of section 3 of the Sales Tax Act.
This Notification shall take effect on and from May 1, 2025, FBR added.
Copyright Business Recorder, 2025
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