FBR issues values of minerals for tax collection

ISLAMABAD: Federal Board of Revenue (FBR) has notified values of minerals for collection of advance tax at the time of extracted, produced, dispatched and carried away from the licensed or leased areas of the mines.

The FBR issued SRO140(I)/2020 dated March 02, 2020 for notifying values of minerals to collect advance tax at the rate of five percent. The tax is applicable only on those persons not on the active taxpayers list (ATL).

The FBR inserted Rule 231I for values of minerals for the purpose of sub-section 4 of section 236 of the Income Tax Ordinance, 2001:

The values are:

S.No. Name of mineral Rate per metric tonne (in Rupee)
(1) (2) (3)
01 Argilacoeous clay 500
02 Asbestos 4875
03 Antimony 11700
04 Agglomerate 6500
05 Barite 6500
06 Basalt 9100
07 Bentonite 3900
08 Bauxite 4550
09 Bajri 780
10 Brine/salt 570
11 Barytes 875
12 Ball clay 875
13 Coal 5000
14 Clay 1625
15 China Clay 625
16 Calcite 1300
17 Celestite 1625
18 Conglomerate 1950
19 Chromite 18750
20 Chalk 2500
21 Dolomite 2250
22 Diorite 6500
23 Flourite 10400
24 Fullers Earth 1300
25 Fire Clay 1300
26 Gypsum 1950
27 Granite 13000
28 Gabro stone 9750
29 Granodiorite 9750
30 Gravel 750
31 Iron ore 5200
32 Limestone (for manufactures of cement) 4500
33 Limestone (other than cement factory) 1500
34 Laterite 815
35 Lake salt 875
36 Marble onyx 16250
37 Magnesite 3900
38 Marble (other than onyx) 3900
39 Manganese 5200
40 Ochre/ red ochre 3900
41 Ordinary stone 910
42 Pumice 1950
43 Quartz 3900
44 Quardzite 3250
45 Rock salt 875
46 Silica sand 4500
47 Sulphur 3900
48 Soap stone 5250
49 Serpentine 3250
50 Shale (cement industry) 2500
51 Sand 650
52 Shale 750
53 Slate Stone 1875
54 Sandstone 750
55 Tar sand 490
56 Tufff 1625

The FBR said that advance tax shall be collected by the provincial authority or a person authorized by the provincial authority to collect or recover royalty on minerals excavated and transported from leased area.

The FBR further said that where a person having authority to collect or recover royalty on behalf of the provincial authority:

(a) fails to collect tax as required; or

(b) having collected tax fails to pay the tax to commissioner as required under Section 160

the person having authority to collect of recover royalty as well as provincial authority shall be jointly and severally liable to pay the amount of tax to the commissioner who may pass an order to that effect and proceed to recover the same.

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