ISLAMABAD (May 22 2006): The government has changed the criteria for import of 'black cabs', exempting the scheme from customs duty and other taxes in CBU, on the analogy of zero tariff for import of tractors, official sources said on Sunday.
The Industries Ministry had suggested that import of 300 black cabs in CBU condition be allowed at 35 percent custom duty, being the rate applicable for CKD in case of cars.
However, it has been decided to charge 5 percent duty on CKD and 20 percent on CBU condition, beyond the initial 300 vehicles by placing them in the light commercial vehicle category. The Central Board of Revenue (CBR) will make necessary amendments in the rules for this purpose.
In the revised decision, the government has also decided to exempt the beneficiary company from deletion programme of Engineering Development Board (EDB) for manufacturing taxicabs locally.
The subcommittee, already constituted on the orders of Prime Minister Shaukat Aziz, will formulate the modalities and evolve a mechanism for implementation of the proposals.