This is a  abstract from Budget Speech:- of FM on 18-6-2001
 
 

Concessions to IT industry:

 

(14)      I have already underlined the importance of IT industry for country�s economy and its future. To encourage investment in and development of the IT industry, it is proposed to increase the present low rate of depreciation of computer equipment from 10% to 30%.

 

Reduction in maximum tariff rate:

 

(1) As I had announced in the last budget, the maximum rate of customs duty is being reduced from 35% to 30%. This is in line with the process of tariff rationalization and reducing the anti-export bias of our imports;

(2) To simplify the customs tariff regime, the present number of 5 duty labs is further reduced to 4. The new slabs will be 30%, 20%, 10% and 5%. This simplification will significantly improve valuation, clearance and general administration of customs tariff. In addition, it will promote a more equitable customs regime by removing exemptions. While doing so, we have ensure that existing commitments relating to zero rating of imports remain intact, together will certain important categories of goods such as computers, IT related equipment, fertilizer, books, pulses, seeds, oil and gas exploration equipment which are at present exempt will continue to be exempt from the levy of Customs duty

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kindly send me the H.S code number to verify from custom tariff.
If it is correct then we have to struggle again for exemption.
Sanaullah Bhutta
 
----- Original Message -----
Sent: Wednesday, June 20, 2001 5:36 PM
Subject: ISPAK: INCENTIVES TO PROMOTE IT IN PAKISTAN

Dear Bhutta Sb ,
 
I would like you to read the newly announced budget and customs tariff thoroughly . As per the newly announced budget , now there is 5% customs duty on all computer items, Routers and other I.T related equipment . I wonder how this could happen despite of the fact that the briefing given by finance minister reflects contrary to what has happened in real  .
 
 
Best Regards
 
Saad Saleem

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