Federal, Punjab budgets to be pro-business: minister

LAHORE:Finance Minister Makhdoom Hashim Jawan Bakht has said that the federal and Punjab budgets for financial year 2021-22 will be pro-business, adding tax reliefs were given in Punjab budget 2020-21 and same approach will be adopted in the upcoming budget.

The minister was speaking at Lahore Chamber of Commerce & Industry along with Chairman Punjab Revenue Authority (PRA) Zain-ul-Abidin. LCCI president Mian Tariq Misbah presented the address of welcome while senior vice-president Muhammad Nasir Hameed Khan and Vice-President Tahir Manzoor Ch spoke on the occasion.

Makhdoom Hashim said that in the upcoming Punjab budget a package of Rs 10 billion would be given with the aim of enhancing global competitiveness of our industry. “The testing lab facility will be part of the package”, he said, adding that testing labs are being set up for the food and drugs sector. He said that the business community will be consulted for special package.

About Punjab Infrastructure Development Cess, the minister said that the feasibility in this regard will be completed within three months and if study will support and help to restore the activities at dry ports, Punjab Infrastructure Development Cess will be abolished. “We are committed to giving more tax relief to the businessmen in the next financial year”, the minister added.

LCCI president Mian Tariq Misbah said imposition of Punjab Infrastructure Development Cess at the rate of 0.9pc on dry ports in Punjab has prompted many businesses based in Lahore and other parts of Punjab to get their consignments cleared from Karachi. This has resulted in tremendous loss of business volume at dry ports in Punjab, shifting of tax revenues from dry ports in Punjab to Karachi and furthermore hampered the businesses of clearing agents and transportation companies that provide sizeable employment.

He demanded the removal of this cess in the provincial budget 2021-22 to ease out the business community and revive economic activities at dry ports.

He said water tariff of Wasa Lahore for industrial and commercial users (Rs100,000 for 1 Cusec and Rs 50,000 for ½ Cusec) is considerably higher as compared to other cities of Punjab like Faisalabad and Multan, etc. The water tariff in Faisalabad for dyeing processing industry is Rs 13,000/Cusec and Rs 19,000/Cusec per month for general industry.