Withdrawal of sales tax demanded

Rawalpindi: Pakistan Businessmen and Intellectuals Forum (PBIF) President Mian Zahid Hussain has said that sales tax should be withdrawn on cottonseed, oil cake, etc. while withholding tax refunds stuck since a decade should be released.

He said the largest foreign exchange earning sector is in trouble, therefore it should be rescued otherwise the country will face heavy losses.

He said that the textile sector which is the second-largest job provider is facing a host of issues while the cotton ginning sector is on the brink.

Mian Zahid Hussain said that bales worth Rs20 billion are lying under the open sky as there is no buyer as many textile mills are closed due to prolonged lockdown and other reasons.

He said that textile mills have not paid Rs30 billion to ginners due to closure depriving them of the ability to pay the growers.

He noted that the issues of ginners could be resolved if TCP buys the unsold cotton stock enabling ginners to pay the growers.

Mark up should be waived from first Jan to 30th of June 2020, ginners should be allowed to sell the pledged stock, one year time should be given to adjusting bank guarantees and tax should be exempted on the stock lying with ginners, he demanded.