Fiscal Incentives



Fiscal Incentives for Coal Development

  • Thar Coalfield declared as Special Economic Zone.
  • The 18% US$ based equity IRR to all coal mining projects based on indigenous coal to companies which will achieve Financial Close by 31st December, 2020 and an additional 2% US$ based equity IRR is allowed to those mining companies who will achieve Financial Close by 31st December, 2019.
  • Zero percent customs duties on import of machinery.
  • Exemption on withholding tax on dividend for initial 30 years.
  • Exemption on withholding tax on procurement of goods and services.
  • Exemption for 30 years on other levies including special excise duty, federal excise duty, WPPF and WWF.