In a mini-budget unveiled to fetch Rs40 billion taxes under the International Monetary Fund (IMF)’s conditions, the government on Monday imposed one percent additional Customs duty by raising the maximum slab from 20 to 21 percent, enhanced and imposed Regulatory Duty on 350 imported items, hiked rates for cigarettes, and raised fixed duty on used and old imported cars.
The imposition of one percent hike in Customs duty (CD) on all imported products except exempted items will alone yield additional revenues to the tune of Rs21 billion in the remaining seven-month (Dec-June) period of the current fiscal year. This additional duty of one percent will be effective on all PTAs and FTAs signed by Pakistan with other countries.
The FBR has increased the RD on 289 imported items by five percent from existing rate of 10 percent to 15 percent. The FBR increased RD on figs, pineapples, avocados, guavas, mangoes, frozen mangoes, mangoesteens, mango pulp, oranges, kinos, grapefruit including pomelos, lemon (citrus lemon), watermelons, papaws, apples, pears, quinces, apricot, sour cherries, peaches, plump and sloes, strawberries, raspberries, kiwifruit, durians, pine nuts, chewing gum, and white chocolate, containing eggs.
Besides existing 10% RD, five percent additional RD was imposed on persimmons; pomegranates, other; strawberries; raspberries, blackberries, mulberries, loganberries, black, white or red currants and gooseberries and other; cherries and other; apricots; prunes; apples; cherries; pine nut; peaches; plums; lichis; raisins and other; mixtures of nuts or dried fruits of this chapter; peel of citrus fruit or melons (including watermelons) fresh, frozen, dried or provisionally preserved in brine, in sulphur water or in other preservative solutions.
