FBR delegates tax exemption authority

KARACHI: The Federal Board of Revenue (FBR) on Thursday authorised chief commissioners of the Inland Revenue to decide sales tax exemption on foreign donated goods.

The FBR, in a notice, asked the economic affairs division and importers to directly send applications for sales tax exemption on grant-in-aid goods to a concerned chief commissioner.

In 1996, Pakistan signed an international agreement to allow tax exemption on grant-in-aid supplies.  Previously, there was a requirement for obtaining the FBR headquarters’ approval to such a tax exemption.  The FBR said the changes aimed at to streamline the process and avoid any delay in an exemption.