Various items: RD may be raised by 5pc
ISLAMABAD: Taking a major revenue generation measure to discourage imports of non-essential items, the rate of regulatory duty (RD) has been proposed to be increased by 5 per cent on all items subjected to RD on imports and exports in coming budget (2017-18).
Sources told Business Recorder here on Thursday that the FBR has proposed a uniform rate of 5 per cent RD to be increased on all items presently subjected to RD. If this proposal is incorporated in the budget, this would serve two purposes—increase revenue collection as well as discharge imports of luxury and non-essential items.
Under the budget proposal, the items liable to 5 per cent RD have been proposed to be increased to 10 per cent RD. Items subjected to 10 per cent RD have been proposed to be increased to 15 per cent; 15 per cent RD to 20 per cent and items covered under 20 per cent RD would be subjected to 25 per cent RD.
Items subjected to 30 per cent RD have been proposed to be increased to 35 per cent. Presently, items like Bars and rods, hot- rolled, in irregularly wound coils, of iron or non- alloy steel; Other bars and rods of iron or non- alloy steel, not further worked than forged, hot- rolled, hot-drawn or hot-extruded, but including those twisted after rolling; Other bars and rods of iron or non- alloy steel; angles, shapes and sections of iron or non-alloy steel and wire of iron or non-alloy steel.
This would be instrumental in generating additional revenue in the next fiscal year, sources said.
The FBR will levy regulatory duty on import of goods in exercise of the powers conferred by sub-section (3) of section 18 of the Customs Act, 1969.
Presently, 10 per cent RD is applicable on the import of live poultry, ducks, geese, turkeys and guinea fowls; fish frozen; coconuts, Brazil nuts and cashew nuts, fresh or dried, whether or not shelled or peeled and many other items.
Fifteen per cent RD is applicable on the import of figs, pineapples, avocados, guavas, mangoes, oranges, apples, pears, quinces, apricots, raspberries, blackberries, mulberries, loganberries, black, white or red currants and gooseberries and other fruits. Fifteen per cent RD is applicable on the import of mineral waters, aerated waters, dog or cat food, put up for retail sale, Eau de cologne, perfumes, lip makeup preparations, eye makeup preparations, nail polish, face powder, talcum powder, face and skin creams and lotions, tonics and skin food, shampoos and preparations for permanent waving or straightening, pre-shave, shaving or after shave preparations, personal deodorants and antiperspirants and perfumed bath salts and other bath preparations.
Ten per cent RD is applicable on the import of articles of apparel and clothing accessories, of leather or of composition leather, cotton yarn (other than sewing thread), containing 85 % or more by weight of cotton, not put up for retail sale and Cotton yarn (other than sewing thread), containing less than 85 % by weight of cotton, not put up for retail sale, woven fabrics of cotton, containing 85 % or more by weight of cotton, weighing more than 200 g/m2 and other woven fabrics of cotton.
In last budget, regulatory duty has been exempted on import of carbon steel strips (PCT Code 7226.9200), with thickness 0.090 to 0.100 mm and width 22.2 to 22.4 mm used in the manufacturing of razor blades, through its insertion at Sr # 60, Part III of the Fifth Schedule @ 11% customs duty.
Regulatory duty was waived off on import of Bead Wire (PCT code 7217.3010). The regulatory duty levied through SRO 236(1)/2016 dated 21.03.2016 will continue after 30th June, 2016.
Regulatory duty @ 25% was levied on powdered milk (PCT code 04.02). Similarly, regulatory duty @ 25% was levied on whey powder (PCT code 0404.1010).
Regulatory Duty @ 5% was levied on import of Woven Fabric of and 55 of Pakistan Customs Tariff.
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