LAHORE: The Federal Board of Revenue (FBR) is all set to implement value added taxes (VAT) from July 1.
Chairman of FBR Sohail Ahmed has confirmed that sales tax will be abolished after the value added tax is imposed.
Sohail Ahmed said that the implementation of value added tax is being undertaken to control inflation.
Earlier, the government of Pakistan had given the proposal of imposition of value added tax (VAT) to the International Monetary Fund (IMF) and the it was pressurizing Pakistan for slapping VAT.
Chairman FBR told that the sales tax would go with the imposition of VAT and it would not push up inflation. Recovery of VAT on products was federal subject while VAT on services would be collected by the provinces, he added.
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