Minister Excise tells FBR of Sindh's decision to bar taxation for fed govt

KARACHI: Office of Sindh Excise, Taxation and Narcotics control wrote to the Federal Board of Revenue (FBR) on Tuesday notifying them of the provincial government’s decision to no longer collect tax for the federal government, ARY News reported.

Provincial Minister for Excise and Taxation, Mukesh Kumar Chawla has said in a letter addressed to NAB that the Chief Minister Sindh, Syed Murad Ali Shah has henceforth forbidden tax collection for the federal government and FBR.

Commissioner FBR Karachi has been sent a copy of the letter telling him that the provincial government has barred the department from submitting revenues generated from taxation of vehicle registration, and vehicle ownership transfers will not be handed over to the revenue board.

Yesterday, Chief Minister Sindh Syed Murad Ali Shah refused to collect taxes for Federal Board of Revenue (FBR) under Income Tax Ordinance 2001.

Sindh’s excise department collects around Rs8 billion in terms of taxes for the federal government. The amount is collected from the registration of vehicles and the transfer of vehicles’ ownership.

Minister Excise notifies FBR of Sindh's decision to bar taxation for fed govt