ISLAMABAD: Chairman Federal Board of Revenue (FBR) Nisar Mohammad refused to withdraw federal excise duty imposed on free tickets of Pakistan International Airlines employees.
Sources said that chairman in his remarks said that federal excise duty is imposed on all PIA tickets so according to rules PIA employees are bound to pay federal exicise duty. It is necessary to mention here that Senator Mushahidullah proposed to FBR Chairman to withdraw FED on free tickets of PIA employees.
In reply to this suggestion chairman FBR said that taxes are only applied on business class tickets while no tax was imposed on tickets of economy class. He said that we are not against free tickets but according to law they have to pay federal excise duty.
