The government has cut the income tax rate for farming of mushroom, honeybee, sericulture and floriculture for next two years from the existing five per cent to three per cent.
The National Board of Revenue (NBR) took the decision to reduce the taxes in a bid to boost production and promote the sectors. The NBR on July 1 issued a statutory regulatory order to this effect and said that the reduced income tax rate would remain effective for next two years till June 30, 2015.
According to the SRO, the sectors like fishery, pelleted poultry feed production, pelleted feed production for fish, shrimp and cattle, seed bedding, marketing of locally produced seed, cattle farming, dairy farming, frog farming, horticulture, honeybee farm, sericulture, mushroom cultivation and floriculture will enjoy the reduced income tax rate.
Officials of the NBR said that the government is providing the tax incentive to encourage people to invest in the sectors which have great potentials.
Earlier in his budget speech, finance minister Abul Maal Abdul had declared some tax incentives to dairy, poultry and fisheries sectors with a view to diversify the agricultural sector.
-With New Age input
