ISLAMABAD: The Federal Board of Revenue (FBR) has issued a clarification regarding tax exemptions on imports in Gilgit-Baltistan.
The FBR stated that a comprehensive system has been established to prevent the misuse of these exemptions, ensuring that the interests of the business community are protected.
According to the FBR, Gilgit-Baltistan holds a special status, and the Sales Tax Act 1990, Income Tax Ordinance 2001, and Federal Excise Act 2005 do not apply there.Tax exemptions at the Sost Dry Port will be granted only on goods used within Gilgit-Baltistan, with an annual limit set at 4 billion rupees.
The Gilgit-Baltistan government will determine the quota for traders, and once the quota is exhausted, an automatic system will begin collecting applicable taxes. Strict action will be taken against violations of these regulations.
