ECC approves several tax exemptions for erstwhile FATA, PATA people


—Photo courtesy: Press Information Department (PID)

ISLAMABAD: The Economic Coordination Committee has approved several tax exemptions and other incentives for the next five years for the people of erstwhile FATA and PATA.

The approval was granted during ECC meeting held in Islamabad Thursday with Prime Minister Shahid Khaqan in the chair.

Domestic consumers of electricity would be exempted from sales tax on domestic consumption of electricity. Federal Excise Act 2005 shall replace the erstwhile Central Excise Act 1944.

Non customs paid vehicles would be allowed to be used in erstwhile FATA and PATA till 30th June 2023.

Exemption from all withholding taxes, except on salary will continue.

Any person seeking to set up new industrial undertaking is granted exemption from Income Tax subject to prior approval of the ECC.

The meeting decided to revoke the Neelum Jhelum surcharge on achieving Commercial Operation Date of the project.

The ECC also approved relending terms for Pakistan Mortgage Refinance Company Limited to promote low cost and affordable housing in Pakistan.