Clarifying a news item appearing in a section of the press, the official spokesperson of FBR, stated that Sales Tax on old and used clothes has been reduced by the Federal Minister for Finance Mr. Mohammad Ishaq Dar, from 17% as stated on the floor of the National Assembly in his Budget speech on 5th June 2013, to 5% in his winding up speech and as incorporated in the Finance Act 2013.

This reduction in Sales Tax from 17% to 5% was due to Government’s consideration for the common man, who uses these old / used clothes.

Riffat Shaheen Qazi
Official Spokesperson, FBR