ISLAMABAD, July 3: The Federal Board of Revenue (FBR) has notified procedures for the levy of special excise duty on import and locally-manufactured products.
These procedures were notified through a federal excise notification SRO 655 released here on Tuesday.
The value for the purposes of levy of special excise duty shall be, in case of goods imported, the value determined in accordance with section 25 of the Customs Act, 1969 (IV of 1969) for the purpose of assessing customs duty; and in case of goods produced or manufactured, the value determined under sub-section (1) or as the case may be sub-section (4) of section 12 of the Federal Excise Act, 2005, excluding the amount of excise duty levied under section 3 of the said Act.
The special excise duty and such duty shall be paid, in case of goods imported, in the same manner as customs duty is paid by an importer under the Customs Act, 1969 (IV of 1969); and in case of goods produced or manufactured, in the same manner as Federal excise duty is paid by a producer or manufacturer under the Federal Excise Act, 2005.
The amount of special excise duty shall not be part of the value for the purpose of assessment of customs duty, federal excise duty (FED), sales tax or advance income tax, in case of imported or locally-manufactured goods.
The special excise duty paid at import or local supply stage on industrial inputs shall be adjustable against the special excise duty chargeable on the goods manufactured there from at local supply stage.
No other adjustment of special excise duty shall be allowed against any amount of federal excise duty or sales tax or any other tax and vice versa; and where goods on which special excise duty has been paid are exported, the exporter shall be entitled to drawback of such duty in such manner and to such extent as may be directed by the Federal Board of Revenue.
