Govt proposes cutting in LPG VAT in imports from 15% to 10%; NBR yet to decide
The ministry also asked for the withdrawal of the 7.5% VAT currently imposed at the local production stage
Amid a supply crunch of liquefied petroleum gas (LPG), the Ministry of Power, Energy and Mineral Resources has proposed reducing the existing value-added tax (VAT) at the import stage from 15% to 10%.
On Thursday (8 January), the Energy and Mineral Resources Division sent a letter to National Board of Revenue (NBR) Chairman Abdur Rahman Khan, requesting the VAT reduction.
The ministry also asked for the withdrawal of the 7.5% VAT currently imposed at the local production stage.
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Although the NBR has received the proposal, it has not yet made any decision on the matter.
A senior official of the NBR's VAT wing, speaking to The Business Standard on condition of anonymity this afternoon, said, "We have received the letter. However, no decision has been taken yet."
