Islamabad: The Federal government has decided to reduce the sales tax on tea to five percent in the Federal Budget for the Fiscal year 2012-13, sources informed.
According to the sources, the decision for reduction in the sales tax on tea has been taken in order to control smuggling activities of the product.
Earlier, the sales tax on tea was mounted on 16 percent while now it has been reduced to five percent which is evidently a positive step for the people who are addicted to tea.
Meanwhile, the custom duty is also being announced to reduced by highest 35 percent to 30 percent which is developing step for the business communities who do import and export trade. Custom duty on pencils, notebooks and other stationery items has also been abolished.