'Government will not be allowed to impose 17 percent GST'

Chairman, Senate Committee on Finance, Senator Ali Ahmed has said that his party would not allow government to impose 17 percent General Sales Tax (GST) in the coming budget. Speaking at a meeting of North Karachi Industrial Development Company (NKIDC) at North Karachi Association Trade and Industry (NKTI), he expressed hope that GST may be imposed at the rate of 15 or 16 percent.
Referring to delays in export refunds under various heads, he said that in case of delay in refunds the government is legally responsible to pay 6 per cent interest to the exporters but government never paid this in past. He was of the opinion stuck-up refund claims of exports may not be before budget. However he assured that the issue would be taken up with the government so that the stuck up huge refund cases to be resolved earlier.
Referring to European Union (EU) economic package for Pakistan, Ali Ahmed said Pakistan may not get benefit of the package although EU has already given approval to it. The strong Indian lobby is opposing this economic package. In this scenario WTO may not give green signal to EU on the package
Ahmed said that North Karachi Industrial Area is contributing considerably to the national exchequer in taxes and levies and it was its due right to get development funds to the tune of at least Rs 500 million. He advised CEO NKIDC, Syed Usman Ali to send particulars of the case to him so that he along with Senator Abdul Haseeb Khan will take up the issue with the concern quarters of the government in Islamabad and get the funds released as soon as possible.
He said that doing business is not government's job and that's why the organisations like Pakistan Steel, PIA, Pakistan Railways and number of other public sector units are on the verge of collapse and should be handed over to the private sector. Speaking on the occasion, Senator Abdul Haseeb Khan said that he as representative of trade and industry in senate advised business community to sent their problems and issues to him so that he could take up at senate level.
He assured the members of North Karachi association that efforts would be made for early release of stuck up funds of Rs 250 million. The CEO NKICD, Syed Usman Ali said that developmental projects were initiated by the NKICD and a number of projects were accomplished. He however said that Rs 250 million have remained stuck up with the federal government and should be released without delay to complete ongoing developmental work in the area.