LAHORE: Pakistan Tanners Association (PTA) has urged Federal Board of Revenue to issue the refunds of leather industry on emergency basis.
Sources said a delegation of PTA members met with the authorities of Regional Tax Offices Lahore to settle the matter. PTA presented its reservations about the refund cases before the authorities and asked to resolve the matter for saving the leather industry. On the other hand, authorities have agreed over to settle the refund cases of those traders who have less than Rs 0.5 million refunds instead of clearing the total refund cases of leather industry.
A tax lawyer informed Customs Today that regional offices have been directed not issue the refunds to traders by the FBR Headquarter. He added that such measures have been taken to overcome the shortfall of revenue target for current fiscal year 2014-15 as the release of refunds could widen the shortfall. He suggested that FBR should release the refunds of business community timely to facilitate them.
Leather industry contributes 5% of GDP and 5.4% to the overall export earnings of the country and is considered to be the most significant sector which plays viable role in revamping economic spectrum of the country.
There are about 800 tanneries in the country, engaged in manufacturing finished leather and leather products on modern pattern as per international demand and are playing their positive role in earning much needed foreign exchange by invigorating country’s export volume.
