Business

Industry opposes withdrawal of amnesty scheme

ICCI says Pakistan needs industrialisation to create jobs, encourage investment

Our Correspondent April 26, 2022

The total increase in sales tax collection was once again lower than the jump in sales tax receipts at the import stage. PHOTO: file

ISLAMABAD:

Islamabad Chamber of Commerce and Industry (ICCI) President Muhammad Shakeel Munir termed the government’s intention to withdraw the tax amnesty scheme for the industrial sector under IMF pressure disappointing.

Expressing concern, Munir said “the move will hurt industrial growth in the country and shake the confidence of investors willing to invest in Pakistan under this scheme”.

He urged the government to reconsider its intention to withdraw the tax amnesty scheme as it would harm economic growth of the country.

He highlighted that the ICCI had been constantly asking the government to announce a package for the industrial sector on the pattern of construction package. “The business community was quite satisfied when an incentive-laden tax amnesty scheme for the industrial sector was announced in the first week of March 2022, which encouraged industrial promotion, revival of sick units and foreign investment in the industrial sector.”

Entrepreneurs and investors were pleased as the amnesty scheme had created new opportunities for industrial promotion and investment in the industrial sector, he added. However, there were indications that on IMF’s demand the government was considering withdrawing the amnesty scheme, which would cause disappointment among the business community and potential investors.

The ICCI president stressed that Pakistan needed industrialisation to create jobs for the youth, encourage local and foreign investment and improve exports.

“The amnesty scheme was a good move to achieve these goals,” Munir said and emphasised that the government should accelerate the pace of work on the establishment of Special Economic Zones (SEZs) under CPEC and implement the industrial amnesty scheme as it would boost industrialisation and contribute to strengthening the economy.

Published in The Express Tribune, April 26^th, 2022.

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