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Tax on turnover: Importers fail to get deliveries of consignments as Air Cargo Agents on strike

byAftab Channa
03/09/2015
in Karachi, Latest News
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KARACHI: The consignments of importers remained uncleared as the service provider Air Cargo Agents Association of Pakistan is observing a shut down strike against imposition of 8 percent tax on turnover imposed by the Federal Board of Revenue.

Wearing black armbands, the air cargo agents staged a protest demonstration at the Cargo House, Karachi airport. They also chanted slogans against the federal government for what they term the atrocities against those paying taxes.

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Addressing the participants of demonstration, association’s chairman Farrukh Iqbal said the cargo agents keep suspended the air cargo clearance until the federal government revokes its decision regarding imposition of 8 percent tax on the turnover.

Meanwhile, hundreds of containers carrying imported stuff have been stuck at the twin ports  Karachi Port Trust and Port Muhammad Bin Qasim  after the Pakistan International Freight Forwarders Association (PIFFA), Fleet Operators Association of Pakistan (FOAP) are observing strike against the 8 percent minimum tax on turnover on all service providers.

Talking to Customs Today, PIFFA’s Habibullah said that the freight forwarders would keep suspended the commercial activities till withdrawal of the forced imposition of taxes on already taxpayers.

“The services providers have held a number of meetings with the authorities of Federal Finance Ministry and the Federal Board of Revenue. However, no positive result came compelling the service providers to go on strike”, he added.

The FBR and Finance Ministry had accepted that the imposition of tax was a mistake however they are now changing their stance and pressurizing the service providers to pay the new levies. “The service providers are doing business on nominal margin of profit and we are left with no option to shut the business”, Habibullah said.

The consignments of importers and exports are stuck at the ports however the government seems least concerned to resolve the genuine demands of the taxpayers. With the closure of commercial activities at ports, the importers did not obtain delivery orders neither took deliveries of their cargo from seaports/bonded CFS, he concluded.

 

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