Pakistan Will Levy an Unified 15% VAT on Retailing Next Fiscal Year

From next fiscal year (July 1st 2010), Pakistan will uniformly implement 15% VAT instead of the existing muti-tax rate on sales tax. This tax is applicable to all retail trades in the whole nation, with the taxable threshold of annual sales volume at 7.5 million (one U.S. dollar approximately equals to 85 rupee). The aforementioned VAT policy will come into effect after the vote through Pakistan Parliament.

It is reported that Pakistan Federation Tariff Commission now levies fixed sales tax at different rate on retailers with the sales volume from 5 million to 10 million rupee or above