Latest news with #StatutoryRegulatoryOrder
Express Tribune
7 days ago
- Business
- Express Tribune
Body reviews Chinese projects
The CCoCIP directed the Ministry of Maritime Affairs to conclude deliberations with local fishermen on starting the international transshipment of seafood from the Gwadar Port. photo: file Listen to article The Cabinet Committee on Chinese Investment Projects (CCoCIP) has directed the ministries concerned to expedite work on finalising a road map for the relocation of Chinese industries to Gwadar along with other Chinese projects before the visit of Prime Minister Shehbaz Sharif to Beijing. In a recent meeting, the cabinet committee reviewed the implementation status presented by the respective ministries and divisions and took several decisions. It underscored the need for swift implementation of previous decisions to ensure an environment conducive for Chinese investors. The road map is being finalised, which will be tabled before the Chinese authorities during the upcoming visit of PM Sharif. The Board of Investment (Bol) highlighted the progress made on preparing the road map, which was being developed in coordination with the Ministry of Industries and Production. The CCoCIP directed the Bol to finalise the road map at the earliest and present it to the committee for consideration and approval. It noted with concern that the project linking the Gwadar desalination plant with the national grid through the extension of power distribution lines from Panjgur had not yet been completed. It directed the Power Division to submit recommendations within three days as to how a project of national strategic importance could be fast-tracked for early completion. Additionally, the CCoCIP voiced concern that despite repeated efforts, the cabinet's decision on the revision of electricity supply mechanism for the Rashakai Special Economic Zone (SEZ) had not been implemented. It urged the BoI to prepare a detailed case study, with specific timelines, regarding the delay. It also noted that the Power Division had submitted that the committee's decision to supply electricity to the Gwadar desalination plant from the national grid had been implemented. The CCoCIP directed the Ministry of Maritime Affairs to conclude deliberations with local fishermen on starting the international transshipment of seafood from the Gwadar Port and submit a compliance report in that regard. It instructed the Ministry of Planning, Development and Special Initiatives to discuss and settle all the unresolved issues with the government of Sindh related to the proposed Karachi Comprehensive Coastal Development Zone and prepare a compliance report. It also observed the position submitted by the Ministry of Commerce, stating that the Statutory Regulatory Order (SRO) facilitating the export of potassium sulphate fertiliser from the Gwadar Port by relaxing the Export Policy Order had been issued. The cabinet body directed the Ministry of Planning to conclude deliberations with the relevant ministries and divisions on the foreign currency facilitation pilot project in the Gwadar Free Zone and submit a report regarding the implementation status of the project. It gave directives that the Power Division, in consultation with the National Electric Power Regulatory Authority (Nepra), should fast-track the implementation of the cabinet's decision on the revision of electricity supply mechanism for the Rashakai SEZ and come up with an implementation report for review in the next CCoCIP meeting. In that regard, Nepra was asked to expedite the matter at its end. The committee emphasised that the Bol should implement the pending decisions forthwith as well as prepare a relevant report.
Business Recorder
04-08-2025
- Business
- Business Recorder
Complaints of tax frauds: Businessmen laud formation of grievance-redressal bodies
ISLAMABAD: Business community has appreciated the constitution of Grievance Redressal Committees to first investigate complaints of tax frauds before arrest of the registered persons within the sales tax regime. Commenting on FBR's three new notifications, the President of the Quetta Balochistan Chamber of Commerce and Industry, Haji Muhammad Ayub Mariani, Senior Vice President Haji Akhtar Kakar, and Vice President Engineer Mir Wais Khan Kakar have announced that the Chamber, in collaboration with the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and other provincial chambers, has successfully persuaded the federal government to address its concerns over the discretionary arrest powers granted to Federal Board of Revenue (FBR) officers in the federal budget (2025-26). They stated that CEOs and directors of companies can no longer be arrested merely on suspicion. Instead, dedicated Grievance Redressal Committees have been formed to investigate complaints first. Any action will be taken only after committee review and recommendations. Reacting to the government's formation of Grievance Redressal Committees and its response to the concerns of the business community, the Chamber leaders said the Balochistan business community, like their counterparts across the country, had expressed serious reservations over certain anti-business clauses included in the federal budget. Under the leadership of Patron-in-Chief Haji Ghulam Farooq Khilji, the Quetta Chamber not only raised their voice individually but also jointly with FPCCI and other chambers. The collective concerns were conveyed to Prime Minister Shehbaz Sharif, Field Marshal General Asim Munir and key federal ministers. From now onwards, any complaint against a company will be first brought before the committee, which will decide whether FBR should proceed with any legal action. They noted that under Section 37A of the Sales Tax Act, FBR previously had powers to arrest CEOs and directors on mere suspicion. This clause has now been amended following the successful advocacy campaign. They also welcomed the inclusion of representatives from business chambers in the redressal process. Regarding Section 40B, which had also generated widespread complaints, the chamber confirmed that it, too, will now fall under the jurisdiction of the Grievance Redressal Committees, which will evaluate complaints and recommend further steps. The Chamber also highlighted its successful demand for phased implementation of digital invoicing, stating that this approach aligns with international best practices. An SRO (Statutory Regulatory Order) has already been issued in this regard, and it is expected to help increase awareness and bring more businesses into the tax net. The Chamber expressed its gratitude to Prime Minister Shehbaz Sharif, Field Marshal General Asim Munir, and other federal leaders for addressing their concerns. Copyright Business Recorder, 2025
Business Recorder
27-07-2025
- Business
- Business Recorder
Cotton fiber, yarn, greige cloth: 18% ST imposed on import?
ISLAMABAD: The Federal Government has reportedly imposed an 18 percent sales tax on the import of cotton fibre, yarn, and greige cloth, following nearly a month-long delay, amid sustained pressure from the All Pakistan Textile Mills Association (APTMA). On July 18, 2025, APTMA formally urged Finance Minister Senator Muhammad Aurangzeb to issue a Statutory Regulatory Order (SRO) immediately to implement sales tax on these imports, in line with commitments made in the Federal Budget 2025–26. In a letter to the Finance Minister, APTMA Chairman Kamran Arshad emphasised the budget's announcement that cotton fibre, yarn, and greige cloth imports would be subjected to 18 percent sales tax, while remaining under the Export Facilitation Scheme (EFS). Selective buying on cotton market 'The Federal Cabinet has approved the Finance Ministry's summary through circulation to fulfil the commitment made to APTMA,' the sources confirmed. APTMA had initially sought complete exclusion of these imports from the EFS, arguing that unrestricted imports were harming domestic industry. However, during the budget process, the government instead committed to equalizing the tax treatment of local and imported inputs used for exports, rather than removing them from the scheme altogether. The Association, in its letter, criticized the delay, noting that substantial time had passed since the budget speech and over three weeks since its formal approval. According to a decision by the Deputy Prime Minister's Committee, the tax was originally meant to take effect on July 15. APTMA warned that the delay had coincided with the arrival of Pakistan's new cotton crop, which was facing a lack of buyers due to market uncertainty. The tax disparity, they stated, had eroded demand for locally grown cotton and domestically produced yarn and greige cloth. The Association further argued that, in the absence of a level playing field, both traders and mills were reluctant to purchase the new crop. The textile sector — which accounts for over 50% of Pakistan's total exports — has shown robust growth with a $1.5 billion increase in FY 2024–25. However, the sector also saw a $1.5–$2 billion rise in imports, resulting in a net negative effect on the balance of payments. Copyright Business Recorder, 2025
Business Recorder
26-07-2025
- Business
- Business Recorder
Cotton fiber, yarn, greige cloth: 18pc ST imposed on import?
ISLAMABAD: The Federal Government has reportedly imposed an 18 percent sales tax on the import of cotton fiber, yarn, and greige cloth, after nearly a month-long delay sustained pressure from the All Pakistan Textile Mills Association (APTMA). On July 18, 2025, APTMA had formally urged Finance Minister Senator Muhammad Aurangzeb to immediately issue a Statutory Regulatory Order (SRO) to implement the sales tax on these imports, in line with commitments made in the Federal Budget 2025–26. In a letter to the Finance Minister, APTMA Chairman Kamran Arshad emphasised the budget's announcement that cotton fiber, yarn, and greige cloth imports would be subjected to 18 percent sales tax, while remaining under the Export Facilitation Scheme (EFS). Selective buying on cotton market 'The Federal Cabinet has approved the Finance Ministry's summary through circulation to fulfil the commitment made to APTMA,' the sources confirmed. APTMA had initially sought complete exclusion of these imports from the EFS, arguing that unrestricted imports were harming domestic industry. However, during the budget process, the government instead committed to equalizing the tax treatment of local and imported inputs used for exports, rather than removing them from the scheme altogether. The Association, in its letter, criticized the delay, noting that substantial time had passed since the budget speech and over three weeks since its formal approval. According to a decision by the Deputy Prime Minister's Committee, the tax was originally meant to take effect on July 15. APTMA warned that the delay had coincided with the arrival of Pakistan's new cotton crop, which was facing a lack of buyers due to market uncertainty. The tax disparity, they stated, had eroded demand for locally grown cotton and domestically produced yarn and greige cloth. The Association further argued that, in the absence of a level playing field, both traders and mills were reluctant to purchase the new crop. The textile sector — which accounts for over 50% of Pakistan's total exports — had shown robust growth with a $1.5 billion increase in FY 2024–25. However, the sector also saw a $1.5–$2 billion rise in imports, resulting in a net negative effect on the balance of payments. Copyright Business Recorder, 2025
Express Tribune
23-07-2025
- Business
- Express Tribune
Industry awaits SRO on 18% cotton import tax
Listen to article The Pakistan Business Forum (PBF) has called on the Federal Board of Revenue (FBR) to immediately issue a Statutory Regulatory Order (SRO) for imposing 18% general sales tax (GST) on imported cotton, as outlined in the Finance Bill 2025. In a statement, the PBF emphasised that despite clear announcement in the federal budget to tax the imported cotton, its implementation was pending due to the absence of the required SRO. "More than three weeks have passed since approval of the budget, yet the delay continues without any justifiable reason." According to the PBF, credible reports indicate that certain influential interest groups are obstructing the issuance of the SRO. "The government must ensure transparency and move forward in the interest of local cotton growers and the economy," said PBF Chief Organiser Ahmad Jawad. The forum cautioned that cotton imports had exceeded domestic production for the first time in Pakistan's history – a development that poses serious risks to sustainability of textile and agriculture sectors. "The FBR must act urgently, keeping in view the seriousness of the issue and release the SRO without further delay," it said. The forum disclosed that importers had already entered into agreements for 7.5 million bales of cotton from international markets. "After much effort, local cotton farmers finally achieved a level playing field through legislation. The time has come to translate that into action," Jawad said. To reclaim Pakistan's status as a leading cotton-producing nation, he underlined the need for federal and provincial governments to launch a nationwide cotton revival programme. He recommended that the import of raw material, especially those impacting domestic industries, should be entirely excluded from the Export Facilitation Scheme. The forum also expressed concern over the current state of cotton crops. According to the latest figures, Sindh's performance remains particularly troubling, with reported supply of only 152,650 bales so far this year, compared to 327,666 bales in the same period of last year – a decline of 53%. In contrast, Punjab has shown relatively better results, with supply of 145,101 bales, reflecting a 27% rise over last year. Notable growth has been observed in several districts, including Khanewal (28,825 bales), Vehari (33,950 bales), Dera Ghazi Khan (19,397 bales) and Rajanpur (9,200 bales) – all recording improved yields.
