ISLAMABAD: The All Pakistan Textile Mills Association (APTMA) Tuesday conveyed to the Federal Board of Revenue (FBR) to remove system glitches in the software (EFS module) for full-fledged implementation of the Export Facilitation Scheme (EFS), 2021.
A delegation of the APTMA headed by its Chairman Asif Inam visited the FBR Headquarters to have a meeting with the tax authorities and discussed in detail the issues relating to the implementation of the Export Facilitation Scheme, 2021.
The delegation comprises Asif Inam, Chairman APTMA; Naveed Ahmed, vice chairman APTMA; Rehman Naseem, senior vice chairman APTMA, and others.
At the conclusion of the meeting, the APTMA officials told Business Recorder that to enjoy the facilities of the new export scheme, there is need to improve the software (EFS module) to avail the benefits of the scheme. In order to ensure smooth switchover from the existing schemes to the EFS regime, changes have also been proposed in the EFS module.
The APTMA delegation highly appreciated the initiative of the FBR for launching the facilitation scheme. “The FBR is doing a good job to facilitate exporters,” sources said.
During the meeting with the tax authorities at the FBR House, the delegation of the APTMA also made some suggestions to further streamline the scheme to facilitate exports.
It is expected that the Export Facilitation Scheme 2021 will reduce the 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.
Under the scheme, indirect exports and local purchase of raw materials used in the manufacturing of goods to be exports has been allowed.
There are glitches in the software due to which the scheme is not being fully implemented, the APTMA delegation informed the FBR.
There are issues of understanding by the customs officers working at all major Model Customs Collectorates, which needs to be addressed, the sources added. The association is coordinating with the FBR to resolve software-related issues. A number of issues have been resolved by the FBR and the remaining would be done in due course of time, the APTMA delegation added.
This scheme has been completely automated under WeBOC and PSW where users of the scheme and regulators (IOCO, Regulator Collector, PCA, etc) shall be integrated through WeBOC and PSW and communicate through these systems.
Under the SRO 957(I) 2021, the FBR had allowed exporters to make domestic sales up to 20 percent of the goods manufactured from duties and taxes free input/raw materials imported under the Export Facilitation Scheme, 2021.
Users of this scheme will include exporters (manufacturers cum exporters, commercial exporters, indirect exporters), common export houses, vendors and international toll manufacturers.
Copyright Business Recorder, 2022
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