ISLAMABAD: Federal Board of Revenue has eliminated sales tax, customs duty and withholding tax on the import of potatoes while imposing 25 per cent regulatory duty on its export during the three months ending July 2014.
The FBR has issued four notifications in this regard in line with the decision of the Economic Co-ordination Committee (ECC) of the Cabinet.
Earlier there was 17 per cent sales tax, 5 per cent withholding tax and customs duty on the import of potatoes. The exemption is applicable on import of potatoes to the limit of 200,000 tonnes during the specific period.
Ministry of National Food Security and Research had forwarded a sumary on creation of artificial price hike of potatoes in the market through hoarding and profiteering. ECC on the recommendation of the Food Ministry imposed the aforementioned decision with effect from May 5, 2014.
