Turnover tax: PMA expresses concern over issuance of notices

The Pakistan Flour Mills Association (PFMA) has expressed serious concern over issuance of notices for recovery of one percent turnover tax from the flour mills. It is learnt that the association has informed the tax authorities about the issuance of notices to the flour mills on the recovery of one percent turnover tax.
The notices have been issued by different commissioners at the stage when negotiations are under way between the association and the concerned quarters for withdrawal of the levy. The FBR should immediately issue instructions to the concerned commissioners to stop recovery of one percent turnover tax from mills, the association said.
It is important to mention that the Board is expected to allow 80 percent reduction in the turnover tax liability of flour mills. The mills had repeatedly met the tax authorities to convince them for reduction in their turnover tax liability. In case the demand is accepted, the Ministry of Finance would direct the FBR to issue a notification to implement the decision on the reduction of the turnover tax.