LAHORE: The Federal Board of Revenue (FBR) has exempted customs duty on the import of certain raw materials/input goods for home appliances through tariff rationalisation under the Finance Act 2021.
According to the FBR’s customs budget instructions, to encourage the local chemical pesticides and paint sector industry CD has been reduced on carbon black (2803.0090) and master batches (3206.4910) from 20 percent to 16 percent, CD on p-xylene (2902.4300) and synthetic or organic pigments/powder(3204.1710) has been reduced from three percent to zero percent and CD on gum, wood or sulphateturpentine oils and others (3805.1000 & 3805.9000) has been reduced from 11 percent to three percent in tariff.
To incentivise artificial leather industry, customs duty on paraffin wax (PCT code2712.2000), p-xylene (2902.4300), and activated carbon (PCT code 3802.1000) has been reduced to zero percent in tariff, CD and ACD on import of PVC Emulsion grade(PCT code 3904.1010) has been reduced from 11 percent to zero percent with nil ACD subject to lab test and on Release paper (PCT code 4811.5990) has been reduced to three percent with nil ACD under Fifth Schedule for sales tax registered manufacturers of artificial leather subject to quota determination by IOCO, the FBR said.
Certain raw materials/input goods for home appliances were exempt from customs duties vide Sr. 116 of Part-III of Fifth Schedule.
