LAHORE: Lahore High Court (LHC) has sought personal appearance of chief tax policy officer of Federal Board of Revenue (FBR) on a petition moved by local foam manufacturers questioning sale of smuggled foam in Pakistan.
On 27.2.2018, Justice Shahid Jamil Khan heard the case. According to the details of case, representing the foam manufacturers, Advocate Taffazul Haider Rizvi submitted that the foam manufactures in Pakistan were on the brink of collapse due to sales tax exemption offered to the foam manufacturers of Azad Jammu and Kashmir (AJK).
He said resultantly 85 percent of all foam manufactured in AJK was being exported to Pakistan without any payment of tax or duty. He argued that the authorities failed to levy customs duties upon arrival of that foam in Pakistan’s other provinces.
The counsel pointed out that at the moment in Pakistan, only five foam manufacturing companies were left as all others had either closed down or relocated their manufacturing facilities to AJK. He said that the government should be directed to provide level playing field to local foam manufacturers and stop foam smuggling.
Justice Shahid Jamil Khan after hearing preliminary arguments directed the chief tax policy officer of the FBR to appear in person along with deputy attorney general on 14th March.
