KARACHI: The Pakistan Chemicals and Dyes Merchants Association (PCDMA) has given classification of chemicals and dyes to specific items under the Income Tax Ordinance 2001 from the Federation of Pakistan Chambers of Commerce and Industry (FPCCI). Asked to help resolve issues related to
In this regard, a PCDMA delegation called on FPCCI President-elect Mian Nasir Hayat Mego, a statement said on Wednesday.
Led by Mirza Nadeem Baig, the delegation identified a number of issues facing the chemicals and dyeing sector, including the classification of parts of Part III of the 12th Schedule to the Income Tax Ordinance 2001. Importers, on the other hand, claimed that the goods were further stated in the statement to be covered under Part I or Part II of this schedule. Initially, the Federal Board of Revenue allowed all such disputed goods to be obtained in the form of tax differential pay orders or bank guarantees unless the importers provided documentary evidence that the same during the last financial year. Claim rates on goods were allowed.
The statement said that the list of such raw materials was available in the then released SRO 1125 (i) / 2011 which was accepted by the FBR for granting such exemption.
In the meantime, a list of industrial raw materials approved by the FBR without regard to trade, which is already a detailed list of raw materials in the then evacuated SRO 1125 (I) / 2011 Was provided. The matter was already represented in detail by the FPCCI through the letters dated 25.1.20-20 and 26-11-2020, in this regard the salary already collected by the importers through the FBR. Concerns were expressed over the order / bank guarantee. However, the issue has not been resolved by the FBR to date.
FPCCI President Mego assured his full cooperation in overcoming the difficulties of the industry. He said that he would talk to the concerned departments in this regard. At the meeting, the FPCCI also proposed to consider setting up committees to resolve income tax, sales tax and customs duty issues.
It proposed the establishment of an arbitration committee to resolve mutual issues facing the business community.