VAT presentation likely to be delayed

The government is likely to delay Value Added Tax in the upcoming budget said sources on Friday.

ISLAMABAD: The government is likely to delay Value Added Tax in the upcoming budget, sources said on Friday.

Sources in the Federal Board of Revenue said that Value Added Tax will not be presented before the parliament on Saturday.

Reports indicate that the sales tax rate is expected to rise to 17 per cent instead, after the parliament's approval.

Tax collection target for next fiscal year is also set to rise from Rs1,667 billion to Rs1,680 billion.

Regulatory duty on more than 200 luxury and electronic items including stainless steel will also be revoked. Meanwhile duty on import of automobiles may also see reduction of 10 per cent.

Sources also said that tax on salaries will likely be reduced.