Islamabad: The reason for the high cost of income tax exemption during 2021-22 is due to the reduction in the tax rates including withholding tax on the import of sugar, reports Brecorder.
According to the tax expenditure report-2023 issued by the Federal Board of Revenue (FBR) overall income tax expenditure accounted for 18.93% of the total expenditure in 2021-22.
As per the FBR notification tax on the import of white sugar from August 25, 2000, to November 15, 2020, was collected at the rate of 0.25% per quantity, quality, mode and manner prescribed by the Ministry of Commerce. Tax on commercial imports of white sugar under section 148 was collected at the rate of 0.25% from January 26, 2021, till June 30, 2021.
The tax on import of raw sugar imported by sugar mills from January 26, 2021, to June 30, 2021, was collected at 0.25% under section 18.
