REF. NO. PHMA/CIR-035/2013 DATED: 01 March, 2013

PAKISTAN HOSIERY MANUFACTURERS & EXPORTERS ASSOCIATION

37-H, BLOCK-6 P.E.C.H.S., KARACHI-PAKISTAN

TEL: 0092-21-34522769, 34522685, 34544765 FAX: 0092-21-34543774

E-MAIL: info@phmaonline.com   URL www.phmaonline.com

Ref. No. PHMA/Cir-035/2013

Dated: 1^st March, 2013

MOST URGENT AND IMPORTANT

TO ALL MEMBERS OF THE ASSOCIATION

FBR?s S.R.O.154(I)/2013 dated 28^th February, 2013 to withdraw Zero-Rate of Sales Tax

We are attaching herewith FBR?s S.R.O.154(I)/2013 dated 28^th February, 2013 and consequent the Press Conference of the Value Added Textile Sector held on Thursday, 28^th February, 2013, as decided, all our valued members are requested not only to register their protest but also display black flag on their factories as a sign of protest against this harsh measure of Federal Board of Revenue.

The zero-rating scheme of the five export oriented sectors has been modified to withdraw zero-rate of sales tax and instead introduce rate of 2% sales tax on supplies to the five sectors (except utilities). Rate of sales tax for outside the five sectors has been kept intact at 5%.

This Notification shall take effect on and from the 1^st day of March, 2013.

Thanks & Best Regards