Turnover Tax - Exemptions

Interstate transit operations and related services are now exempted from the turnover tax.

The exemption of essential products and drugs has been clarified as follows :-

Essential products, insecticides, Fungicides, pharmaceutical products as well as inputs used in manufacturing them. Essential products listed in Annex 4 of the turnover tax ordinance inputs for animal feed manufacture as well as inputs for fishing activities which are used by producers provided the finished product is itself exemption.

Transport operations regarding raw or processed timber destined for export are also exempted.

Subject to reciprocal treatment and quotas fixed by the competent authorities, goods and services destined for the official use of foreign diplomatic missions and international organisations, for the use of diplomatic agents and technical and administrative staff of these missions as well as family members living with them are exempted.