LAHORE: The federal government has approved Rs 1.089 billion to settle enhanced-export duty drawback of local tax claims filed by the exporters during financial year 2015 .
The State Bank of Pakistan (SBP) has been directed to immediately start refunding the exporters’ claims, the officials of Ministry of Commerce said Wednesday.
It may be added that on the initiative of ministry of commerce, the federal government had announced in the budget to provide refund of local taxes to exporters of non-traditional sectors on FOB values of their enhanced exports, if increased by 10% and beyond over previous year’s exports at rate of 4% of the increase. This facility was also announced for textile exporters.
The incentive to non-traditional port sectors was provided to fish and fish preparations, meat and meat preparations, spices, gloves, footballs and other sport goods, leather garments, other leather manufacturers, footwear, surgical goods, cutlery, electric fans, transport equipment, machinery specified for particular industry or other machinery or other electric equipment, furniture and pharmaceutical.
The ministry in pursuance to the above initiative, accordingly issued an order called the Drawback of Local Taxes and Levies Order 2015, through SRO 415(I)/2015 on March 15, 2015.
Under the said SRO it was provided that the exporters of the above commodities will submit the claims duly certified by the respective associations/chambers to the State Bank of Pakistan (SBP) along with the supporting documents as prescribed in the Order to the Nominated Authorized banks by 31st July, 2015.
