20kg flour bag may cost Rs90 more after tax revision

LAHORE: The Pakistan Flour Mills Association (PFMA) has asked the federal government to reverse the decision of revising tax on flour. Otherwise, the PFMA said the prices of flour of a 20kg bag would increase from Rs1,050 to Rs1,140 showing an increase of Rs90 per 20kg bag. Under the federal budget 2021-22, the government had proposed to increase the turnover tax on wheat from 0.25 percent to 1.25 percent, while the sales tax on flour bran is set to enhance from 7 percent to 17 percent with effect from July 1, 2021. Majid Abdullah, a flour mill owner, said the prices would go up if the taxes on the flour industry are not withdrawn. He said flour, being an essential food commodity, should be exempted from all taxes.