ISLAMABAD: The Economic Coordination Committee (ECC) on Tuesday approved withdrawal of customs duty, additional customs duty and sales tax on import of cotton with effect from February 1 till 30th June this year, Radio Pakistan reported.
The decision to ensure sufficient supply of cotton for the industry in the country.
The meeting of the committee was held in Islamabad today with Finance Minister Asad Umar in the chair.
The committee approved that duty and taxes on all imported new and used vehicles under personal baggage or gift scheme, will be paid out of foreign exchange arranged by Pakistan nationals themselves or local recipient.
The decision was made after proposal of the Commerce Division.
It also approved regulatory amendments in the Export Policy Order 2016 and Import Policy Order 2016 as proposed by Commerce Division aimed at increasing ease of doing business.
The ECC in its previous meeting, had summoned a report for revival of Pakistan Steel Mills.
The committee also considered the revival of Pakistan Machine Tool Factory.
Moreover, the meeting invited a report from the Revenue Division about details of sales tax and custom duty on import of cotton and the impact of withdrawal of these taxes.
The was scheduled to discuss withdrawal of custom duty from the import of cotton and a proposal to exempt the imported cotton from sales tax was also on the agenda of the committee.