Zaidi assures businessmen of addressing concerns

Committee will be constituted to resolve problems of businessmen

FAISALABAD: Federal Board of Revenue (FBR) Chairman Shabbar Zaidi has assured the business community that a committee will be constituted to address their genuine concerns that emerged after the announcement of federal budget for FY20.

On the other hand, Anjuman-e-Tajiran Supreme Council Patron-in-Chief Haji Aslam Bhalli announced the withdrawal of the strike call on assurances that the condition of seeking CNIC copy of unregistered goods buyers would be scrapped.

Speaking at a meeting with the business community at the Faisalabad Chamber of Commerce and Industry (FCCI) on Monday, Zaidi stressed that the government was making serious efforts to resolve genuine problems of businessmen.

Regarding exporters, he remarked that a credible and efficient tax refund system would be established in consultation with the business community and invited exporters to have a meeting with him in Islamabad.

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He accepted most of the proposals of the exporters and assured them that in future their tax refund claims would not be delayed.

The FBR chief said Rs38 billion had been released for immediate payment of refund claims. In this connection, promissory notes are also available and the exporters can opt for these notes, as and when required.

The FBR chairman said he had taken important decisions to protect the business community, adding that not a single account had been frozen by him. “Similarly, no active taxpayer has been declared non-active,” he added.

Talking about customs clearance, he said currently 40% of cargo was cleared through the green channel and he had proposed to increase the ceiling to 60% as soon as possible. Commenting on liquidity problems, Zaidi pointed out that he could not make any decision alone. Hence, he requested the exporters to visit Islamabad so that the issue could be taken up with Adviser to PM on Finance Abdul Hafeez Shaikh. He dispelled the impression that the government had imposed new taxes. “The government is only trying to ensure maximum recovery of the taxes already imposed by previous governments.”

Regarding the amnesty scheme, he revealed that many businessmen could not avail of the scheme as the FBR system had got stuck. Hence, their concerns would be addressed in the next couple of days through mutual consultation.

Zaidi assured the industrialists that the government was ready to facilitate them where they were facing genuine problems due to recent tax-related decisions.

He clarified that for the time being the condition of seeking CNIC copy of unregistered buyers had been deferred and asked the industrialists to continue their business without fearing any harassment.

On the issue of raids on business premises, the chairman said they had not issued any such directive.

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“This order has been issued by the Securities and Exchange Commission of Pakistan (SECP),” he said, adding that he had taken up the matter with the department concerned and it was expected to be withdrawn very soon.

The chairman clarified that no one would be allowed to harass the business community and if anybody dared to do so, he would be kicked out of the FBR.

He said the government was working to introduce a fixed tax system for small traders as its ultimate objective was to document the economy.

Speaking on the occasion, Provincial Minister for Industries Mian Aslam Iqbal said there were 341,000 industrial connections and only 19,000 were registered with the sales tax department. Of these, he said, only 16,000 were paying sales tax.

“It is an alarming situation as they are availing a subsidy of Rs200 billion without paying even a single penny to the national kitty.”

He commented that the government was not demanding sales tax from the exporters. “We are subjecting the local sales of textile to tax, which have remained untaxed thus far,” he added.

Published in The Express Tribune, July 9^th, 2019.

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