ISLAMABAD: The Federal Board of Revenue has sent entire refunds claims to Federal Minister for Finance Asad Umer who will take a final decision on it.
It has learnt through reliable sources that total amount of refunds is now more than Rs350 billion. The finance minister has decided that he would reconcile State Bank of Pakistan, FBR, textile sector and other agencies over the refund issue.
Sources told Customs Today that recently, a meeting was held during which the officials of finance ministry were of the view that the budget did not contain allocation to cover even one-fourth (1/4) of this year’s claims.
During the meeting, advisor to Prime Minister Razzak Dawood told the participants that he would speak to Finance Minister Asad Umar and will pursue him to issue exemption certificates to textile sector against any tax collection especially 1.25% turnover tax to offset the liabilities.
Regarding the expansion of DTRE for indirect exports, Razzak Dawood agreed to instruct the ministry of textile to allow DTRE boarding facility to indirect exporters and simplify the procedure considerably.
Regarding the expansion of LTTF to entire value chain, it was agreed to enhance the per party Rs1.5 billion limit to Rs3 billion after discussion with Finance Minister Asad Umar and State Bank of Pakistan. Also total amount for industry will also be enhanced. Allowing LTTF to indirect exporters was also discussed and the Advisor to PM promised to take it up with finance minister and SBP, sources added.
