Related Keywords: fabric, garment, Pakistan textile industry, Sales tax, textile machinery, Textile Ministry, textile policy, yarn, zero-rated custom duty
As the textile policy (2009-14) formulated by the previous government will end on June 30, 2014. The Pakistan government is contemplating to impose 17 percent sales tax on import of textile machinery on expiry of the current facility ending in June, which is covered under the zero-rated custom duty and sales tax regime. Also the 2 percent sales tax on yarn, 3 percent of fabric and 5 percent on garments would be raised to 17 percent in next two year.
