KP govt to reduce cess on export to 1pc, says CM aide

PESHAWAR: Implementing recommendations of the Sarhad Chamber of Commerce and Industry, provincial government of Khyber Pakhtunkhwa decided to bring down 2 percent cess on export to 1percent.

“A summary to reduce the cess has prepared in light of the SCCI proposals, which will be presented in the next meeting of the provincial cabinet for formal assent,” said Advisor to Chief Minister of Finance and Inter-Provincial Coordination Muzammil Aslam told a meeting during his visit to the chamber house.

SCCI senior vice-president Abdul Jalil Jan, former president Haji Muhamamd Afzal, Faiz Muhammad Faizi, executive committee members Ziaul Haq Sarhadi, Aftab Iqbal, Nadeem Rauf, Muhammad Ashfaq and Industrialist Association Peshawar President Ayub Khan Zakori, Khalid Sultan Khawajaand others were also present on the occasion.

Muzammil Aslam clarified that the cess funds would be utilised on promotion of economic activities and infrastructure development in the province.He assured to remove all hurdles to the provision of soft loans to the business community through the Bank of Khyber. He also promised that issues relating KPRA and IPC would be resolved on priority basis.

Similarly, he promised to raise business community issues at various forums at the federal level.He said policies would be implemented in consultation with the chamber and business community.

He sought the business community’s support to achieve the set revenue and economic growth targets in the province.Earlier, Fazal Moqeem conveyed concerns of business community regarding imposition of 2 percent provincial cess on export, property tax on warehouses, shops and offices by E&T deptt, making withholding agents by KPRA, non-implementation of provincial industrial policy 2020, issues relating to inter-provincial coordination, and suspension of PIA Peshawar to Karachi flights.

SCCI chief said the export process had adversely affected after imposition of 2percent provincial cess on export. He feared export from KP would completely end, if the cess couldn’t be abolished.

Calling collection of property tax by E&T deptt as double taxation, Moqeem demanded immediate abolishment of all unnecessary and irrational taxes.He also expressed concerns over the collection of professional tax from the business community.

The chamber president raised the issue of gas and electricity, stating that non-availability of gas and electricity to business and industries is a violation of article 158 of the constitution because KP is surplus in production of gas and electricity.