ISLAMABAD: The Federal Board of Revenue has moved a summary before the Economic Coordination Committee (ECC) of the Cabinet for rationalising regulatory duty (RD) on several items including generators.
On the demand of both treasury and opposition benches belonging to Parliament had recommended the FBR for rationalising RD on several items after taking concerned stakeholders into confidence. There has been growing demand of rationalising RD on generators.
The RD would be imposed at the rate of Rs4669 per metric ton on the import of LPG falling under Pakistan Customs Tariff (PCT) heading 2711.1910. The estimated revenue impact of this revenue measure during the remaining seven months (December to June) comes to Rs1.5 billion approximately.
The LPG classifiable under PCT code 2711.1910 is currently exempt from the customs duty under Fifth Schedule to the Customs Act, 1969. During FY 2016-17, a total quantity of 481,512 MT and during current financial year (July-October, 2017) a quantity of 190,680 MT has been imported.
In order to maintain parity with locally produced LPG, it is proposed that RD @ Rs4669 per metric ton may be levied on import of LPG (PCT code 2711.1910). The estimated revenue impact of the revenue measure during the remaining seven months (December to June) is Rs1.5 billion approximately.
