Latest news with #Rs11.6
Business Recorder
6 days ago
- Business
- Business Recorder
Sugar cartelisation case hearing rescheduled on mills' request
The Competition Commission of Pakistan (CCP) has rescheduled the rehearing of the cartelisation case against the Pakistan Sugar Mills Association (PSMA) and its member mills, following requests from their legal counsels. The hearings, initially fixed for August 4-7, will now take place from September 22-25, 2025. Over 70 sugar mills requested postponement of hearing, the CCP said in a press release. The adjournment was sought on grounds that over 50 mills have filed appeals against the Competition Appellate Tribunal (CAT) order in the Supreme Court, while others cited unavailability of legal representatives due to the Supreme Court's summer recess. While the CCP had scheduled day-to-day hearings in line with the directions of the CAT, it has allowed a one-time postponement in the interest of fairness and to ensure due opportunity for all parties to present their case. The commission will not entertain further delays, and in case of non-appearance or repeated adjournment requests, ex-parte proceedings may be initiated. Notices issued to sugar mills for rehearing in cartelisation case The proceedings pertain to show cause notices issued in November 2020 to PSMA and its member mills for alleged cartelisation and anti-competitive conduct. Hearing notices were most recently issued on July 9 in compliance with CAT's May 21 order, which directed the commission to rehear the matter before a member or chairperson not part of the original bench. Rs44bn penalty on sugar mills: CAT remands case to CCP for rehearing It may be recalled that in 2021, the CCP had imposed a penalty of Rs44 billion on PSMA and its member mills for cartelisation. The order was later set aside by the tribunal, which held that the casting vote exercised by the then chairperson in a 2-2 deadlock was not permissible under the Competition Act, 2010 in quasi-judicial proceedings. CCP 'unearths' sugar cartel CCP 'unearthed' a cartel in the sugar industry through an extensive enquiry in October 2020, which concluded that the Pakistan Sugar Mills Association (PSMA) has been acting as a front runner for cartelisation in the sugar industry since 2010. The CCP's enquiry report concluded, while determining the causes behind the sugar shortage/crisis and price hike, that the sugar mills were using the PSMA platform to take a collective decision to use exports as a means of sustaining or controlling prices or 'keeping it stable'. The enquiry has concluded that the hike in sugar prices appears to be the direct result of misreporting in sugar stock positions (of which PSMA was aware of) that led to a decision to delay sugar imports. The enquiry report observed that the decision not to import in a timely manner caused a rise in sugar prices between, July to September 2020 by Rs11.6 per kg. Report accuses sugar millers of acting like cartel The CCP has the evidence that indicates that in 2019 only, the domestic price of sugar hiked by Rs18/kg due to the commodity's export, while the sugar barons made an additional gain of Rs40 billion in revenue in addition to payment of Rs29.22 billion as subsidy to them. The enquiry report said that evidence gathered during raids on the premises of the PSMA and the JDW Sugar Mills seems to suggest these anti-competitive activities have continued since 2010.
Business Recorder
15-07-2025
- Business
- Business Recorder
PM spells out his govt's top tax priorities
ISLAMABAD: Prime Minister Shehbaz Sharif on Monday called for simplifying tax returns and launching digital invoicing in Urdu to facilitate easier tax filing for citizens, while highlighting ongoing reforms including the implementation of an AI-based tax assessment system. Speaking at a weekly review meeting on the digitisation efforts of the Federal Board of Revenue (FBR), Sharif emphasised the need to focus reforms on the convenience of the average taxpayer. He directed the introduction of third-party validation to ensure transparency in all FBR reforms. 'The new simplified digital tax returns primarily benefit salaried individuals,' the prime minister said, urging a public awareness campaign to encourage wider tax compliance under the revamped system. PM Shehbaz orders crackdown on tax evasion, under-invoicing Sharif credited Finance Minister Muhammad Aurangzeb, the economic team, and FBR Chairman Rashid Langrial for their roles in advancing the reforms, which aim to broaden the tax base while easing the burden on low-income groups. For the first time in history of the country, the government is implementing an AI-based tax assessment system, he noted, calling it 'a significant milestone'. He also stressed the importance of extending special facilitation to small and medium enterprises (SMEs) to incorporate them into the digital invoicing framework. In a briefing, the meeting was informed about the progress on digital invoicing, e-bilty (electronic transport documentation), simplified tax returns, AI assessment systems, and the establishment of a Central Command and Control Center. The FBR expects to complete bidding for the Command and Control Unit soon, with full operational capacity targeted by September to enable centralized data access and decision-making. Under the AI-based system, traders can submit Advance Goods Declarations (AGD) before ship arrivals, granting exemptions on upfront duties and taxes. Compliance with AGD is expected to rise sharply from 3 per cent to over 95 per cent, facilitating direct container movement from ports to factories. The digital invoicing system will require all businesses to issue invoices online at the point of sale, with around 20,000 businesses expected to join in the coming months. In the first month alone, 8,000 invoices worth Rs11.6 billion were processed. The system includes a taxpayer portal and monitoring dashboard and is integrated with Pakistan Revenue Automation Ltd (PRAL) free of charge. Once fully implemented, traders will no longer need to file separate sales tax returns, as transactions will be automatically recorded. Additional measures include the introduction of an eight-digit Harmonized System (HS) code aligned with international standards to combat fake invoices and improve sales tax system monitoring. Simplified digital tax returns for salaried individuals will be available from July 15, with the facility expanding to other taxpayers by July 30. Urdu versions of the returns will also be introduced by the end of the month. The prime minister called for a dedicated helpline and third-party public surveys to assess the ease of filing under the new system. On the cargo tracking and e-bilty system, officials said real-time monitoring of goods movement and tax compliance will be enabled, supported by AI-enhanced assessments. The government is collaborating with Turkey to meet international standards in system deployment following discussions between Shehbaz and the Turkish president during a recent visit to Azerbaijan. A Turkish delegation is currently in Pakistan to assist with implementation. Senior officials at the meeting included federal ministers Ahsan Iqbal, Ataullah Tarar and Ali Pervaiz Malik; Minister of State for Finance Bilal Kayani, FBR Chairman Langrial and other key officials. NNI adds: The meeting was informed that simplified digital tax returns will be launched from July 15 for salaried individuals and from July 30 for other taxpayers. Urdu-language returns for salaried individuals will also be available by July 30. The process of filling out the new simplified tax returns was explained in detail. The meeting was also briefed about the progress of the cargo tracking system and e-bilty system. Copyright Business Recorder, 2025
Express Tribune
14-07-2025
- Business
- Express Tribune
Easing tax burden on low-income groups a priority, says PM Shehbaz
PM Shehbaz chairing a meeting to review progress on the digitization of FBR in Islamabad on July 14. Photo: Listen to article Prime Minister Shehbaz Sharif said expanding Pakistan's tax base and easing the burden on lower-income citizens were among the government's top priorities as he reviewed the Federal Board of Revenue's (FBR) ongoing digitisation and reform efforts. Chairing a high-level meeting on Monday, Sharif praised the launch of simplified Urdu-language tax returns and called for the establishment of a helpline to assist the public in filing returns. 'In tax reforms, the focus should remain on the convenience of the common man,' he said. He directed authorities to ensure third-party validation for all FBR reforms to maintain transparency. The prime minister emphasised that digital, concise, and database-linked tax returns would primarily benefit salaried individuals. A public awareness campaign will soon be launched to encourage wider adoption of the new tax filing system. 'For the first time in the country's history, the implementation of an AI-based tax assessment system is a big success,' hesaid, lauding the efforts of the finance ministry and FBR. Prime Minister Muhammad Shehbaz Sharif chairs a meeting to review progress on FBR reforms. — Government of Pakistan (@GovtofPakistan) July 14, 2025 Sharif also instructed that special support be extended to small and medium enterprises (SMEs) for integrating into the new digital invoicing system. The meeting was attended by senior ministers, FBR officials, and members of the economic team. Participants were briefed on the digitisation of invoicing, e-bilty, cargo tracking, and the establishment of a central command and control centre. According to the FBR, bidding for the control centre will be completed shortly, with the system expected to be operational by September. The centralised system aims to enhance real-time data access and decision-making. Officials also highlighted the AI-based advance goods declaration system. Traders can now submit declarations before shipments arrive, allowing for full exemption of upfront duties. The proportion of advance declarations is expected to rise from 3% to over 95%, enabling direct delivery from ports to factories. وزیراعظم محمد شہباز شریف کی زیر صدارت کیش لیس و ڈیجیٹل معیشت کے حوالے سے ہفتہ وار اجلاس معیشت کی ڈیجیٹائزیشن سسٹم میں شفافیت لانے کے حوالے سے حکومت کی اولین ترجیح ہے : وزیراعظم حکومت سے عوام اور عوام سے حکومت کی ادائیگیوں کے طریقہء کار کی ڈیجیٹائیزیشن سے شفافیت اور صارفین کے… — PTV News (@PTVNewsOfficial) July 14, 2025 Under the digital invoicing initiative, all businesses will be required to issue receipts through the FBR's online platform. Over 20,000 businesses are expected to join the system in the coming months, with 8,000 invoices worth Rs11.6 billion issued in just one month. The meeting was informed that returns for salaried individuals will go live on July 15, while other categories will be able to file by July 30. Urdu versions for salaried individuals will also be available. The FBR's e-bilty and cargo tracking systems were also reviewed. These platforms, assisted by Turkish experts, will enable real-time tracking of goods movement and tax compliance, aligning Pakistan's infrastructure with international standards.
