Latest news with #SalesTaxAct
Business Recorder
2 days ago
- Business
- Business Recorder
Sections pertaining to arrest, detention be held in abeyance: APTMA says salutes COAS for his support
LAHORE: The All Pakistan Textile Mills Association (APTMA) extends its deepest and most heartfelt gratitude to Field Marshal Syed Asim Munir, NI (M) for graciously meeting with a business delegation led by Dr Gohar Ejaz, HI, SI (Civ). 'We salute the Field Marshall's exemplary commitment to engaging with the business community and industry, demonstrating both patience and concern for economic issues faced by the businesses and people of Pakistan.' During the highly constructive meeting, the delegation commended the government and SIFC's monumental efforts that have brought much-needed economic stability to the country and thanked the Army Chief for his unwavering support and resolve. It presented a comprehensive overview of the challenges faced by the industrial sector, with particular emphasis on the recently enacted expansions of the Federal Board of Revenue's (FBR) powers. Tax laws: PM directs formation of arrest powers review panel We are immensely thankful to Field Marshall Munir for immediately directing that the new provisions, particularly those added under Sections 37A and 37B of the Sales Tax Act, 1990 pertaining to arrest and detention, be held in abeyance, and for instructing the FBR to enter meaningful, solution-oriented dialogue with stakeholders and address their concerns. The GHQ will oversee progress through the Special Investment Facilitation Council (SIFC), fostering an environment of collaboration and trust. The delegation called for interest rates to be brought down in line with inflation to stimulate businesses and economic activity. It also highlighted the significant delay in notification of the Export Facilitation Scheme (EFS) amendments relating to exclusion of cotton, cotton yarn, and fabric from the scheme and imposition of an 18% sales tax on their imports. Field Marshal Munir assured the delegation that these measures, as announced in the Finance Minister's budget speech, will be implemented without delay. APTMA is grateful for the Field Marshall's attention to unsustainable electricity prices that are burdening manufacturers and businesses across the country. We appreciate his ongoing commitment to securing more competitive electricity rates for consumers nationwide, with special emphasis on revitalizing the industrial and export sectors. His unwavering support is a testament to his overarching vision to propel Pakistan's economic landscape to new heights. On behalf of the entire textile sector and business community, APTMA once again extends its profound gratitude to Field Marshal Syed Asim Munir NI (M) for his visionary leadership and steadfast dedication to Pakistan's progress and growth. Copyright Business Recorder, 2025
Business Recorder
5 days ago
- Business
- Business Recorder
Business activities remain normal in twin cities
ISLAMABAD: The business activities remained normal in the twin cities of Islamabad and Rawalpindi, as businessmen did not observe a shutter down strike against the extraordinary powers of the Federal Board of Revenue (FBR) to make arrests under Finance Act 2025. The tax-related issues concern the implementation of the Finance Act 2025, including arrest powers under 37A of the Sales Tax Act, payment of Rs200,000 through cash, e-bility, and other enforcement provisions introduced under the Finance Act 2025. Shops and businesses remained open in all the key and local areas including main Murree Road, Saddar, Satellite Town and old city. Meanwhile, President Islamabad Chamber of Commerce and Industry (ICCI) Nasir Qureshi was of the view that the business community of the federal capital did not support the strike call. 'We have had discussion with Haroon Akhtar, SAPM on industries and he has assured to take up the matter with the PM - therefore, it's our responsibility to wait for a few days to see the outcome of his assurances,' he added. The 12-member committee has been constituted under the Chairmanship of Haroon Akhtar Khan, Special Assistant to the Prime Minister on Industries and Production. The committee also included Minister of State for Finance Bilal Azhar Kayani, PM's Coordinator on Trade Rana Ehsan Afzal Khan, FBR Chairman Rashid Mehmood Langrial, and representatives nominated by the business community and chambers of commerce. The committee will hold detailed deliberations over the next 30 days and present a consensus-based and workable solution to the prime minister and the federal cabinet. The business community openly shared their concerns and suggestions during the meeting, and the government expressed its commitment to take all stakeholders into confidence. It was agreed that every effort would be made to address traders' concerns related to transactions and to avoid causing any difficulties for the business community. Meanwhile, President All Pakistan Anjuman-e-Tajiran Ajmal Baloch said that the traders will hold protest demonstrations across the country on July 26 against new amendments in the finance bill. 'We are waiting for the reply from PM Office, and in the meantime our token protest will be held as per schedule, in the second phase we will go for token shutter down strikes,' Baloch said. He slammed the bureaucracy and said that they work with deception, and if the government failed to take back the new powers given to FBR officers, we will increase pressure. Copyright Business Recorder, 2025
Business Recorder
5 days ago
- Business
- Business Recorder
Revamping mode of ADRC appointments: FBR seeks input from stakeholders
ISLAMABAD: The Federal Board of Revenue (FBR) is seeking input from different stakeholders to revamp the mode and manner of appointing Members of the Alternative Dispute Resolution Committee. Director General (Law) of FBR Dr Ishtiaq told Business Recorder; 'We are seeking input from different stakeholders and after consultation will prepare the report. Hopefully it will make the ADRC more transparent and credible.' A two-member bench, headed by Chief Justice of Pakistan Yahya Afridi, on 3rd July while hearing the Zarai Taraqiati Bank Ltd's petition had directed the FBR to submit report on ADRC on 24-07-25. FBR refuses to share info about ADRCs cases Dr Ishtiaq had told the Court that the FBR is open to any constructive suggestions regarding ADRC proceedings, as mandated under the law. CJP Yahya, therefore, allowed the FBR to consult with the stakeholders. Advocate Hafiz Ahsaan Ahmad Khokhar, constitutional and tax law expert, said the need for an effective and structured Alternative Dispute Resolution (ADR) system, particularly in tax matters, has become critical. He maintained that the conventional litigation model has not only overwhelmed the judiciary but has also severely impaired the state's ability to realise tax revenues in a timely manner. Thousands of tax cases involving hundreds of billions of rupees are languishing before appellate tribunals, High Courts, and the Supreme Court, creating uncertainty for businesses, discouraging investment, and delaying revenue recovery. A credible ADR system is now essential for easing this burden, restoring taxpayer confidence, and ensuring fiscal efficiency. He observed that despite having enabling statutory provisions for ADR under Section 134A of the Income Tax Ordinance, 2001; Section 47A of the Sales Tax Act, 1990; Section 38 of the Federal Excise Act, 2005; and Section 195C of the Customs Act, 1969, Pakistan has yet to operationalize ADR in a meaningful way. The reasons for this failure are well-known: lack of transparency in constituting ADR Committees, inclusion of serving tax officers on panels, absence of qualified and neutral arbitrators, lack of digital infrastructure, and the non-binding nature of ADR outcomes—especially in factual disputes. Copyright Business Recorder, 2025
Business Recorder
6 days ago
- Business
- Business Recorder
Resolve issues ‘immediately', LCCI chief tells govt
LAHORE: A nationwide shutter-down has been announced across the country Saturday as the business community intensified its protest against government indifference. Mian Abuzar Shad, President of the Lahore Chamber of Commerce and Industry (LCCI), while addressing a hurriedly-called press conference said if their issues are not resolved immediately, the ongoing negotiations will completely fail. He further stated that after being consistently ignored by the government, the business community has taken this major decision. LCCI President Mian Abuzar Shad announced his active participation in the protest movement, with Senior Vice President Engineer Khalid Usman and Vice President Chaudhry Shahid Nazeer also showed their solidarity with the business community. The movement has received strong backing from the Patron-in-Chief PIAF Anjum Nisar who also assured full support to the trader community. Ali Hussam Asghar, Chairman of the Pioneer Businessmen Group, has also pledged his support, declaring that all of Lahore and Pakistan stands united with the business community. The traders have made it clear that they no longer want promises—they demand concrete action. In a final warning to the government, they declared, 'Provide relief, or the strike continues! The business community's resolute message is clear: if their demands are not addressed promptly, the protest movement will escalate further. Earlier, Atif Ikram Sheikh, President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), has announced that there will be no strike anywhere in the country today. Addressing a press conference after a special committee meeting in the federal capital, Sheikh stated, 'Chambers of commerce from across Pakistan are united in not calling for a strike. While some members were initially upset, today's meeting has brought everyone on the same page.' He emphasized that the FPCCI's role is to act as a bridge between the business community and the government. 'The government has attentively listened to the concerns of the business community during today's meeting. Following consultations, it has shown flexibility on contentious clauses in the Finance Bill and the Sales Tax Act,' Sheikh explained. The FPCCI chief further revealed that the government has agreed to withdraw the disputed provisions after acknowledging the business community's demands. 'All concerns raised by the business community have been accepted. The meeting's recommendations will now be presented to the Prime Minister for final approval,' he added. Sheikh categorically stated, 'In light of today's decisions, no strike will take place anywhere in Pakistan tomorrow. If any individual has called for a protest, it is in their personal capacity and does not represent the business community.' Copyright Business Recorder, 2025
Business Recorder
16-07-2025
- Business
- Business Recorder
KTBA requests FBR to extend e-filing deadline
KARACHI: Karachi Tax Bar Association (KTBA has requested the Federal Board of Revenue (FBR) to extend the e-filing deadline for June 2025 sales tax returns to July 30, due to operational challenges with the IRIS portal's authentication system that are preventing timely compliance. In a letter sent to the chairman FBR, KTBA highlighted that the portal's exclusive reliance on QR codes sent to taxpayers' registered mobile numbers for authentication, arguing that this security measure, while well-intentioned, creates substantial barriers for legitimate taxpayers attempting to meet their compliance obligations. Moreover, it said that Pakistani taxpayers residing overseas who cannot receive SMS messages originating from Pakistan, effectively blocking their access to the tax portal, and added that the corporate taxpayers were also facing similar challenges when registered mobile numbers belonging to the directors or authorized employees who may be unavailable during compliance deadlines. SC implements e-filing system at its registries Authorised representatives, including e-intermediaries, accountants, and tax consultants, are unable to file returns or handle compliance matters on behalf of their clients despite having proper legal authorization, the letter said. Therefore, KTBA urged the FBR to implement a triple-channel QR code delivery system that would simultaneously send authentication codes via SMS, WhatsApp, and registered email addresses, allowing taxpayers to use any of these channels for portal access. 'This multi-channel approach would particularly benefit overseas taxpayers who could access the system through WhatsApp or email when SMS delivery fails, the letter said, and added that for corporate entities, multiple compliance officers to access the IRIS portal with individual credentials linked to the company's business NTN profile, ensuring prompt compliance on behalf of the organization. It said that existing security measures, including password reset policies and annual biometric verification requirements under rule 5(4) of the Sales Tax Rules, would continue to ensure the integrity of tax declarations and added that overseas taxpayers could complete biometric verification through Pakistani identification systems with NADRA assistance. To facilitate the smooth implementation of any system changes, the KTBA recommended a 60-day grace period for taxpayers to update their registered mobile numbers and email addresses in their tax profiles. Once updated within this grace period, further modifications would require QR code verification sent to the registered mobile phone, maintaining security protocols. KTBA also requested for full operationalization of e-intermediary functionality under Section 52A of the Sales Tax Act, 1990, and rule 2(10)(ac) of the Income Tax Rules, 2002 to enable authorized e-intermediaries to access management information systems, input purchase data, manage invoices for their clients, and file returns, statements, and appeals directly through the IRIS portal. Keeping the said in view, KTBA has requested the board to extend the June 2025 sales tax returns deadline till July 30 to facilitate the taxpayers. Copyright Business Recorder, 2025
