lahore - The cement industry has asked the FBR to introduce uniform tax rate for corporate sector besides some other measures in the upcoming budget for the year 2014-15. In a letter written to FBR Chairman, the cement association stated that Pakistan has the highest tax rates in the region and among the developing world. It is universally accepted that higher corporate taxes are a major impediment to rapid economic development and employment generation.  Cement is one of the most taxed industries of the country and is currently subject to different  taxes and levies.
Corporate Income Tax — 34% of taxable income; Workers’ Profit participation Fund — 5% of profit before tax; Workers’ Welfare Fund — 2% of profit before taxation or 2% of taxable income whichever is higher; Minimum tax: 1% of Turnover (in case of losses; Withholding Tax — Multiple and cross withholding; FED — Rs. 400 per ton; and Sales Tax — 17% of the maximum retail price.