ISLAMABAD, June 7: The Central Board of Revenue (CBR) has decided to further reduce the minimum value addition from 30 per cent to 15 per cent for the levy of general sales tax (GST) on pesticides at import stage.

This was announced by CBR chairman M Abdullah Yusuf in a press conference here on Wednesday.

An official announcement of CBR said that in the 2006-07 budget, the sales tax on a minimum value addition of 30 per cent had been levied at import stage in addition to the sales tax chargeable at the rate of 15pc at the import stage.

The new levy is in lieu of the sales tax chargeable on each subsequent stage of value addition. By virtue of the aforesaid amendment, the dealers, distributors and wholesalers of pesticides are not required to pay sales tax on supply thereof.

The measure is aimed at simplifying the procedure for the persons engaged in the supply chain with a view to reduce their cost of doing business as well as to ensure availability of pesticides to the farmers at affordable prices.