PESHAWAR: The Federal Bureau of Revenue has been ordered by the Peshawar High Court (PHC) to cease collecting sales tax from the Provincially Administered Tribal Areas (PATA).
The FBR was charging 17 percent sales tax on products manufactured in steel and ghee mills in PATA.
The petition, which was submitted by individuals from Malakand and was heard by a two-judge bench, claimed that FBR did not have any legal authority to collect sales tax in PATA and its actions were consequently illegal.
The PHC then notified the FBR to cease related activities accordingly.
