KARACHI, June 28: With the adoption of the Sindh Finance Bill 2008 on Saturday by the provincial assembly, the Rs267.76 billion budget for the financial year 2008-09 was passed.

Through the bill, the government has withdrawn levy on transfer of shares while it has charged cess on gold and on the weight of goods upon their entry and using the infrastructure in the province.

Besides, the bill has also levied a one-time luxury tax on imported and locally manufactured or assembled cars.

After the approval of the finance bill, Bill No 3 of 2008 for amendment in the Revenue Act was introduced. Before calling it a day at 2.10pm, Speaker Nisar Ahmed Khuhro said that the budget session stood concluded and now the house stood adjourned to meet on Monday as a normal session when Bill No 3 of 2008 would be taken up for consideration.

Earlier, Chief Minister Syed Qaim Ali Shah laid before the house the schedule of authorised expenditures for 2008-09.

Before the finance bill was taken up for consideration clause by clause, in a brief discussion, opposition leader Jam Madad Ali and Arif Mustafa Jatoi objected at the withdrawal of levy on transfer of shares while Murad Ali Shah, Shazia Marri and Syed Sardar Ahmad, led by the chief minister, defended its removal.

The chief minister said the levy was being withdrawn on the request of the Karachi Stock Exchange as this was not levied on transfer of shares in any other stock exchange.

After the statement by the chief minister regarding objects and reasons, the bill was taken up clause by clause and passed without any objection from the opposition.

In the finance bill, through an amendment in the Stamp Act 1899, the following entries from schedule Article 31 in clause (a) shall be abolished:

i – 1.5 per cent of the face value of shares subject to a minimum of one rupee on physical and on withdrawal from the Central Depository Company.

ii – 0.10 of the face value of shares deposited to the Central Depository Company.”

In Section 9, Sub-section (1), for the proviso the following shall be substituted:

“Provided that cess on gold shall be charged at the rate of 0.125 per cent of the total value assessed by the customs authorities.”

The government had also levied cess on the weight of goods upon entering and using the infrastructure of the province and the distance covered within the province up to 1,250 kg at 0.80 per cent of the total value of goods as assessed by the customs authorities plus one paisa per km.

Exceeding 1,250kg, 0.81 per cent will be charged, exceeding 2,030kg but not 4,060kg 0.82 per cent, exceeding 4,060kg to 8,120kg 0.83 per cent, exceeding 8,120kg to 16,000kg 0.84 per cent and exceeding 16,000kg, the rate of cess shall be 0.85 per cent.

In the bill, through an amendment which was carried by the house through amending Section 3 in Sub-section (1) of the Sindh Sales Tax Ordinance 2000, the words “fifteen per cent” shall be substituted from “sixteen per cent.”

While in the Sindh Motor Vehicles Taxation Act, 1958, a new provision was added in Section 3 in Sub-section (1) for levying a one time luxury tax on imported and locally manufactured/assembled cars at the rate of:

Imported cars with engine capacity from 3,000cc and above Rs100,000; from 2,000cc to 2,999cc Rs50,000; from 1,500 to 1,999cc Rs5,000 and locally manufactured or assembled cars with engine capacity from 1,500cc and above Rs5,000.

However, the cars purchased by the federal or provincial governments, a transport or commercial vehicle, vehicles exempted from taxation under the Sindh Motor Vehicles Taxation Rules, 1959, and a motor vehicle notified by the government shall not be charged tax.

Before the finance bill was taken up after the question hour, Shazia Marri, through a point of order, requested the speaker and the chief minister to bring back the original record of the Sindh Assembly pertaining to the proceedings of the adoption of the Resolution of Pakistan, and other historic documents of Quaid-i-Azam, which were shifted to Punjab after the One Unit, in order to preserve it in the assembly.

This suggestion was endorsed by Arif Mustafa Jatoi and Jam Madad Ali from the opposition and Makhdoom Jamil-uz-Zaman from the treasury.

After the session, addressing a press conference, Jam Madad Ali pointed out the reported kidnappings in the interior of Sindh of Mumtaz Jogi, Adnan Bhanban, Asir Das and the political victimisation of the government’s opponents. He urged the government to pay attention to the law and order situation.