The All Pakistan Cement Manufacturers Association (APCMA) has told the Federal Board of Revenue (FBR) that high taxation on cement encourages tax-evasion and ‘negatively impacts consumption’. Taxes on cement, both Federal Excise Duty (FED – 5%) and General Sales Tax (GST – 17%), amount to around Rs.95 per 50 kg bag, the APCMA states, requesting that FED be reduced in stages to zero. The Association also asks that the import duty on coal be scrapped, calling it an ‘injustice to the cement industry’, which is the main user of imported coal (~95%) in Pakistan. Import duty on waste tyres should also be abolished, say the APCMA, in order to bring this alternative fuel in line with other fuels. Furthermore, it was suggested that GST be cut to 12.5% and further reduced to 10% over the next three years for registered entities.
These remarks were made in the APCMA’s pre-budget proposals to the FBR.
Edited from various sources by Katherine Guenioui
Read the article online at: https://www.worldcement.com/asia-pacific-rim/16042015/apcma-proposes-tax-cuts-for-the-cement-industry-695/