Tarin promises to review tax law amendment
KARACHI: While assuring the business community of no direct action from the Federal Board of Revenue (FBR), Finance Minister Shaukat Tarin has promised he will review the tax law amendment and re-examine the terms non-filer and under-filer in consultation with the stakeholders.
In a meeting with a delegation of the Karachi Chamber of Commerce and Industry (KCCI) on Saturday, Mr Tarin said the FBR would share relevant data with chambers and also upload the same on its website.
The government, he said, intends to utilise artificial intelligence and assessment would be done through third parties while an appropriate time of 90 days would be provided to non-taxpayers for settlement.
Karachi chamber delegation meets finance team in Islamabad
According to a KCCI press release, the finance minister said he would be visiting the chamber every three months while the FBR chairman would be holding meetings on a monthly basis.
Referring to Businessmen Group chief Zubair Motiwala’s remarks about RLNG price discrimination, Energy Minister Hammad Azhar agreed to supply RLNG at $6.5 per mmBtu to export-oriented industries of Sindh. In this regard, the Ministry of Finance will sanction subsidy and relevant notification will also be issued.
Mr Hammad said a meeting to explore ways and means for smooth supply of gas to industries/consumers in winter season would be convened soon besides directing the SSGCL managing director to address the concerns of the chamber in this regard.
Commerce Adviser Abdul Razak Dawood said that they were considering a waiver of duty on import of cotton yarn. It was also concurred that KCCI’s proposal to reduce concessional rate of 0.1 per cent to 0.01pc on
traders/brokers of cotton yarn under SRO333 (I) 2001 dated 02.05.2011 has been taken into consideration in the larger interest of value-added exports.
While supporting the KCCI’s idea of giving industry status to “warehousing/cold chain/cold storage”, he said that the government would look into this matter.
He reiterated that Drawback on Local Taxes and Levies (DLTL) would either continue with the same rate or the government may increase the rate of drawback whereas the old income tax claims will also be refunded at the earliest.
FBR Chairman Dr Ashfaq Ahmed said the government would review the matter pertaining to CNIC requirement and 3pc tax on sales to unregistered persons.
He promised to hold a meeting within next week via zoom facility to discuss the progress on various taxation issues.
In response to problems being faced because of the condition to put invoice and packing list inside imported container or consignment, the lawmakers assured to review the KCCI’s proposal.
The government representatives also assured the businessmen for looking into KCCI’s proposals to amend provision under S. No.4 in which a new section 114B has been inserted in Income Tax Ordinance 2001, providing discretionary powers to FBR to issue General Orders to disable mobile phones/SIMS, disconnect electricity and gas connection etc to enforce filing of returns by the persons not appearing on the ATL.
The KCCI has proposed the provision may be amended to substitute the words “Persons not appearing on ATL” with “Unregistered Persons” to achieve the purpose of broadening of tax-base.