Key Points of the Notification

1. Authority: The FBR is issuing this notification under the powers granted by the Sales Tax Act, 1990, specifically related to setting minimum retail prices for tax calculations.
2. Purpose: The purpose of this notification is to establish a minimum retail price (excluding sales tax) for tea, whether imported or locally supplied. This is to ensure consistent tax application based on a standard minimum price, which helps in calculating sales tax liabilities.
3. Specified Price:
   
   • Product: Tea (falling under the Customs code 09.02).
   • Minimum Retail Price: PKR 1,200 per kilogram, excluding sales tax.
4. Implication for Sales Tax:
   
   • If the actual import or supply price of tea is higher than PKR 1,200 per kg, the sales tax will be calculated based on that higher price.
   • This means that PKR 1,200 per kg is the minimum benchmark, but any price above it will attract sales tax on the actual higher value.
5. Effective Date and Reference: This notification is dated November 1, 2024, and is referenced with a unique file number for tracking (C.No.1/19-STB/2024)