LAHORE - The All Pakistan Anjuman-e-Tajiran (APAT), the apex body of the traders’ community, has submitted budget proposals to the Federal Board of Revenue, asking the FBR to include at least one representative of the traders’ community in consultative committee of the department.
The APAT delegation, including central chairman Khawaja Shafiq, president Mian Abdul Mannan, general secretary Naeem Mir, Baber Qurana, Ajmal Baloch, Haji Haleem Jan, Shahid Ghafoor Paracha, Shahid Rasool Dar, Zafar Siddiqi and others, held a meeting with the FBR Chairman Mumtaz Haider Rizvi and raised the issues like D Form’s temporary deferment, double taxation system like Turnover Tax and violation of Bank Secrecy Act by the officials of the tax department.
The APAT in its budget proposals asked the FBR that traders wanted the tax department to withdraw the Annexure D from Tax Return Form for a permanent basis instead of deferring it till 2014. The budget documents demanded the reduction in tax rate on businessmen, as it has been fixed for salaried class.
With a view to widening of tax net, all kinds of incomes particularly the agri income should be brought into tax net, it suggested. It said that traders were against 25 per cent tax on AOP and wanted the government to fix it in accordance with the tax rate of proprietorship.
Opposing the turnover tax, the budget documents stated that that when traders were already paying income tax as well as sales tax, what was the justification of Turnover Tax.
The budget document also warned the Federal Board of Revenue (FBR) of massive and nationwide agitation if the largely opposed and controversial SRO 191(1) 2012 was not withdrawn.
It said that the SRO will have devastating effect on the businesses in Pakistan, as the compulsory requirement of NTN or CNIC number of each and every purchaser or seller is practically almost impossible.
In the budget proposals, the APAT also criticized the prolonged, hectic and iniquitous system of refund claims clearance, saying that business community’s billions of rupees have been stuck up.
Regarding National Tax Number, the proposals pointed out that earlier it was issued by the central office of the FBR, which was transparent and easy process. But as soon as the task of issuing NTN has been assigned to the regional offices of the FBR, the traders community is facing severe hardships, as the regional office do not issue NTN without influence and bribe. The body proposed the tax department to also provide facility of registration of income tax and sales tax and other amendments at RTOs instead of only in Islamabad FBR office.
The APAT also demanded the continuation of low interest loan schemes for the traders of KPK, which is going to be lapsed in June this year.
The traders body advised the FBR to reduce the time period of tax case reopening to 3 years instead of 6 years, as it is difficult to keep accounts record for a long period.