PSPA seeks LCCI help against FBR

LAHORE: Pakistan Steel Line Pipe Industry Association (PSPA) has sought LCCI help against Federal Board of Revenue (FBR) for not issuing exemption certificate and stocktaking.
PSPA delegation informed the LCCI President Ijaz A. Mumtaz that Steel Line Pipe industry is under tremendous pressure as the FBR is reluctant to issue exemption certificates under Section 148 of the Income Tax Ordinance, 2001 and Stocktaking under Section 38 of the Sales Tax Act, 1990. They said the exemption regime was revamped by the federal government through Finance Act, 2013 by insertion of clause 72B which simplified the procedure of exemption.
However, the FBR complicated the issue through condition (v) of the SRO 717 (I)/2014, which allowed maximum 110 percent of imports made during the previous tax year.
The delegation further said the proceedings for stocktaking under section 38 of the Sales Tax Act, 1990 are just an attempt to harass and recover sales tax amount for achieving revenue target by any means. He said visiting teams are harassing taxpayers in the name of stocktaking and creating assumptive calculations by charging illogical “value addition” and harass and threaten the taxpayers by coercive measures i.e. suspension of registration, imposition of 40B or even registration of FIR against the registered taxpayers.