Tuesday, 7 July 2009
Pakistan - Gwadar EPZ industries get 10-year tax exemption
By Sajid Chaudhry
ISLAMABAD: The Federal Board of Revenue (FBR) on Saturday notified a tax exemption on profits and gains of any industrial unit in the Gwadar Export Processing Zone (EPZ) for a period of 10 years.
The exemption will commence from the time the industrial unit is set up or begins commercial operations.
The FBR also notified that industrial units established in the Gwadar EPZ would be allowed to sell 50 percent of their produce in the local market, compared to 20 percent previously.
The remaining produce can be exported as per the producer’s preference.
Earlier, the industrial units located in the Gwadar EPZ needed to export 80 percent of their production for availing tax exemptions and incentives.
The FBR issued SRO 606(I)/2009, which amended the Second Schedule of the Income Tax Ordinance and added a new clause, 126-D, after clause 126-C.
The FBR also issued a notification SRO 612 (I)/2009 that amended the Customs Rules.
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