‘FBR prioritising exporters refunds amid COVID slump’

LAHORE: Sales and income tax refunds will be paid on priority basis to the exporters with a special focus on Sialkot industry, which earns the country a foreign exchange of more than $2.5 billion annually, a senior tax official said on Monday.

“The FBR (Federal Board of Revenue) was very much in the favour of revival of industry and growth of exports for the maximum employment generation in line with PM’s vision,” said Dr Muhammad Ashfaq Ahmed, Member Inland Revenue (Operations), speaking at Pakistan Readymade Garments Manufacturers & Exporters Association (PRGMEA) office.

He was accompanied by Chief Commissioner Inland Revenue RTO, Sialkot Dr Tariq Mahmood Khan for a meeting with the business community PRGMEA House. Ahmed said Sialkot was the hub of SME sector, which was in dire need of working capital for its smooth operations.

He reiterated the government’s resolve or expeditious payment of tax refunds transparently and removal of all irritants in this regard. The FBR official said the release of refund claims had been expedited and it would be ensured that all sales tax refunds were paid within 72 hours.

He assured the exporters that all the systematic issues relating to Annexure H would be removed within a week, which would facilitate exporters in the filing of claims. The business community of Sialkot lauded his open door policy for every visitor, as everyone could approach him and visit him without any restriction and prior appointment, which was really encouraging for the businessmen.

The industry officials also hailed the Regional Tax Office Sialkot for adopting the same policy for the industry and taxpayers. Chairman PRGMEA Sohail A Sheikh and Chief Coordinator PRGMEA Ijaz Khokhar observed that the Member Inland Revenue (Operations) and Chief Commissioner RTO Sialkot were easily available and accessible and appreciated their friendly approach.

They highlighted the issues like mechanism for refund of sales tax on services and transfer of jurisdiction in various cases to the LTUs and the same were addressed by the Member IR (Operations). They appreciated the government and FBR for releasing tax refunds and DLTL in critical time of Covid-19.