KARACHI: Pakistan Hosiery Manufacturers, Exporters Association (PHMA) in collaboration with Federal Board of Revenue organized a seminar on new Export Facilitation Scheme 2021 (EFS 2021) notified vide S.R.O.957(I)/2021 dated 30.07.2021 simultaneously at PHMA House in Karachi, Lahore, Faisalabad and Sialkot.
Large number of textile exporters participated physically at PHMA Offices and also joined this session online on Zoom and YouTube. Amir Thahim, Collector, Model Collectorate of Customs (Exports) Port Qasim and Moeen Afzal, Additional Collector, Model Collectorate of Customs (Exports) Port Qasim participated from Customs, Federal Board of Revenue to brief the salient features and registration process of Export Facilitation Scheme 2021, said release.
Chief Coordinator and former central chairman PHMA, Muhammad Jawed Bilwani welcomed the Customs officials at PHMA for this orientation seminar to enlighten the exporters about the main features of EFS and to answer questions asked by exporters.
He appreciated that PHMA and FBR jointly believed in facilitating the exporters to contribute in the economic prosperity of the country. Both were working closer like hands in gloves to facilitate the taxpayers and exporters.
With the best efforts and productive proposals of PHMA, the FBR’s FASTER and WEBOC Systems had been improved and working efficiently and exporters were getting their refunds online smoothly. All credit goes to the then Member IR Operations and Chairman FBR, Dr. Muhammad Ashfaq Ahmed, Member Customs Operations FBR Syed Muhammad Tariq Huda and their team who eliminated human intervention, and brought automation and reforms in the FBR System to facilitate the exporters.
He also appreciated Government’s initiative of Pakistan Single Window (PSW)” portal is to provide single electronic platform for facilitating compliance with regulatory regime for cross border trade in the country.
He assured that PHMA would also extend complete support to the Customs with regards to implementation of EFS-2021. PHMA had also introduced EFS Help Desk at its RDA Cell to support member exporters.
Amir Thahim, Collector, Model Collectorate of Customs (Exports) at Port Qasim addressing the leading exporters said the FBR believed in maximum facilitation to exporters enabling them to enhance exports to ultimately benefit the country to earn foreign exchange.
He apprised that the FBR had been continuously working to improve and develop the taxation system through reforms and automation.
In this connection, automation had been enhanced and public dealing had become limited particularly for the exporters.
Introduction of export facilitation scheme 2021 was another milestone step from Customs to provide three scheme i.e. Export Oriented Unit, Manufacturing Bond, DTRE under a unified scheme which would benefit exporters particularly SMEs.
The new scheme simplified wherein exporters can apply online without visiting Custom House. Focal Person shall also be appointed to promptly address the queries and maximize facilitation to exporters.
Moeen Afzal Additional Collector, Model Collectorate of Customs (Exports) Port Qasim gave a detailed presentation on the main feature of Export Facilitation Scheme 2021 wherein he informed that the new scheme would run parallel with existing schemes such as manufacturing bond, DTRE and Export Oriented Schemes for two years.
The existing old schemes shall be phased out in the next two years and will be fully replaced by Export Facilitation Scheme-2021. The EFS 2021 Rules can be accessed at the official website of the FBR.
The powers, functions and role of the Input Output Coefficient Organisation (IOCO) under the new scheme has also been revised. The IOCO Director shall upload the value of input.
It was expected that the Export Facilitation Scheme 2021 would reduce cost of doing business and cost of tax compliance, improve ease of doing business, reduce liquidity problems of exporters by eliminating sales tax refunds and duty drawback for the users of scheme and shall attract more users and shall ultimately promote exports.
Inputs include all goods (imported or procured local) for manufacture of goods to be exported. These include raw materials, spare parts, components, equipment, plant and machinery. No duty and taxes would be levied on inputs imported by the authorised users and local supplies of inputs to the authorized users shall be zero rated.
Through this new scheme Common Export House would import inputs duty and tax free for subsequent sale to the authorised users especially SMEs. This scheme would encourage new entrants and SMEs. This scheme would be completely automated under WeBOC and PSW where users of the scheme and regulators (IOCO, Regulator Collector, PCA etc.) would be integrated through WeBOC and PSW and communicate through these systems.
At the end, many queries from the participants were responded.
