Millat Tractors Limited has announced to resume production on September 04, 2024 (Wednesday) but sales will continue to be restricted until clarification on the Sales Tax refund procedure.
The country’s tractor manufacturer shared this development with the Pakistan Stock Exchange (PSX) on Tuesday in accordance with Sections 96 and 131 of the Securities Act, 2015 and Clause 5.6.1 of the Rule Book of the PSX.
“The Company will be resuming production from September 04, 2024 onwards, Sales shall continue to be restricted until clarification on Sales Tax refund procedure and applicability is provided by FBR,” read Millat’s notice to the PSX.
Earlier, Millat Tractors suspended its production operations from August 22, 2024 due to unresolved issues surrounding the Goods and Services Tax (GST) refunds.
The MTL highlighted that while the GST on tractors is set at 10%, the GST on input raw materials is 18%. This discrepancy has led to a continuous accumulation of refund claims.
