FBR notifies tax exemption for 61 items used in COVID-19 vaccines

KARACHI: The Federal Board of Revenue (FBR) has issued a notification for tax exemption on imports of 61 items used in the preparation of COVID-19 vaccines.

The federal cabinet had earlier given approval to exempt imports of 61 items used in the preparation of COVID-19 vaccine from taxes and duties on November 17.

Sources told that the Federal Board of Revenue (FBR) took three days to issue the notification in this regards.

The tax exemption will ensure availability of necessary medical equipment to the hospitals besides expediting the preparation of the coronavirus vaccine and reducing its cost, sources added.

According to FBR officials, the importers will be given tax exemption till June 30 – 2021 to bring in the essential items related to the medication of novel coronavirus.

Earlier in the day, the lack of interest of the revenue board in duty-free imports of 61 items of COVID-19 vaccine despite getting approval from the federal cabinet.

The commerce ministry had also issued a statutory notification (SRO) regarding the items. Sources told that the FBR’s lack of interest is delaying the duty-free imports of the essential items which would be used for timely commencement of coronavirus vaccine and reducing its cost.

In another development today, the Economic Coordination Committee (ECC) approved a technical supplementary grant for the advance purchases of COVID-19 vaccines.

The Ministry of National Health Services Regulations and Coordination sought $150 million funds from the federal government for advance booking of COVID-19 vaccines, it was learnt earlier in the day.