Funds sought to settle rebate claims

LAHORE: Pakistan Hosiery Manufacturers Association (PHMA) has proposed the government to allocate funds for the early clearance of pending claims of Customs rebate in the budget 2018/19, a statement said on Wednesday.

PHMA Central chairman Dr Khurram Anwar Khawaja said that the association in its budget proposals has recommended that all pending claims of Customs rebate be cleared as soon as possible.

It is proposed that in future, all Customs rebate claims should be settled and paid through the State Bank of Pakistan (SBP) at the time of realisation and payment of export proceeds, it added.

He also proposed the government to reduce sales tax from 17 percent to three percent and withholding tax (WHT) from 5.5 percent to one percent in the upcoming budget to cut the cost of production.

Tariffs also need to be rationalised and brought at par with the regional competing countries to give level-playing field to PHMA exporters, he added.