PSRMA seeks uniform sales tax regime across country

The Pakistan Steel Re-Rolling Mills Association (PSRMA), Karachi circle, has demanded that fixed tax facility allowed in Lahore should be made applicable uniformly throughout the country.
An emergency meeting of the Association was held in Karachi to discuss the injustices and discrimination meted out at the hands of the Sales Tax Authorities, the PSRMA members expressed their strong resentment over the decision of the Collector Sales Tax, Lahore, whereby the steel melting units located in Lahore and Gujranwala were allowed to pay sales tax at a nominal fixed rate of Rs 280 per tone and Rs 150 per ton on bars and sections re-rolled from MS ingots.
The PSRMA members also expressed concern over exempting them from all audit formalities and producing any purchase record. Unfortunately, the Karachi Sales Tax Collectorate has strongly refused to extend any concessions and facilities.
They deplored the glaring discrimination between Lahore area and rest of the country.
They also protested against departure from observing the prevailing GST law, discriminating between different areas of the country by not observing the law uniformly, permitting the officials to use discretion at their whims, indirect subsidy to industries located in a particular area chosen by a collector at his sole discretion.
They also pointed out that the indirect subsidy exceeds Rs 5,000 per ton, which has caused serious distortions in the market, and have exposed steel re-rolling units located in Karachi to impending disaster as the huge edge of Rs 5,000 per tone plus exemption from audit and proper invoicing bestowed on units located in Lahore area only does not allow others to survive.
The PSRMA members said this is gross injustice and discrimination, and against all cannons of justice, adding it will encourage smuggling of scrape and colossal loss to exchequer.
The general body of the Association unanimously resolved to draw the attention of authorities concerned towards this discrimination, and demanded that the law should be practically imposed with complete uniformity throughout the country without any discrimination.
They also demanded that the fixed sales tax facility allowed in Lahore should be made applicable uniformly throughout the country including Sindh, and fixed sales tax at the rate of Rs 280 per ton should be collected on all raw materials ie steel mill billets, steel re-rollable scraps and ship plate, so that no distortion or victimisation is caused.
They mentioned that either the general sales tax regime should be abolished totally or fixed sales tax should not be allowed at all.
There should be one law and that also should be imposed uniformly throughout the country.
They demanded that indiscriminate discretionary powers which create discriminations should not be given to officials.