ISLAMABAD: The Federal Board of Revenue (FBR) has notified a new method for calculating the value of cement for sales tax collection.
The board on Tuesday issued a notification SRO746 of 2025 elaborating on the new method by aligning it with the Sensitive Price Index (SPI) data issued by the Pakistan Bureau of Statistics (PBS).
The minimum retail price of cement will now be calculated based on the average national retail prices published by PBS under its weekly SPI report. These values will be assessed twice monthly — using SPI data released just before the 1st and 16th — and applied to the corresponding fortnightly periods starting on those dates.
The notification further said that this updated valuation mechanism will be implemented from May 1 and will serve as the standard for calculating sales tax at the prescribed rate mentioned under clause (a) of sub-section (2) of Section 3 of the Sales Tax Act 1990.
Published in Dawn, April 30th, 2025
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