Computer vendors industry: FBR approached to check 'harassment' by field formations

ISLAMABAD: The computer vendors industry has approached the Federal Board of Revenue (FBR) to check harassment by its field formations issuing inadmissible notices to the businessmen in the IT sector, at a time, when local sales of computer and IT business in Pakistan have dropped by 70 percent.

The Pakistan Computer Association (PCA) and the Islamabad Chamber of Commerce and Industry (ICCI) Tuesday chalked out a joint strategy to deal with the issue of taxation of the computer industry and take up the matter with both the Policy and Operations Wings of the FBR.

The industry appreciated that the government wanted to protect and promote the local industry, so that the import bill on the purchase of computers can come down and the local industry can also enjoy a competitive edge vis-à-vis multinational companies currently supplying computer machines and spare parts in the market, the computer industry maintains.

Talking to a delegation of PCA, here on Tuesday, Sardar Yasir Ilyas Khan, President ICCI, stated that despite the immense potential that computer and IT industry in Pakistan offers to the national economy, it has been continuously ignored by the concerned authorities.

The sector needs enabling policies and facilitation to grow and play a vital role in the progress of the country.

The president of the ICCI assured the delegation that the issues that computer and IT industry is facing, will be raised at all highest forums including with the officials of the concerned ministries and the FBR.

He added further that the computer industry in Pakistan was mostly based on imports rather than assembling.

Therefore, it is already having quite squeezed margins and cannot survive in high taxation regime.

The ICCI, he said, could link the computer industry with new opportunities and markets, he concluded.

Led by Munawar Iqbal, the founding leader of the PCA, the delegation comprised Ibrar-ul-Haq, President PCA, Islamabad Chapter, Abdullah Malik, Jamal Yousaf, Arshd Janjua, Abdul Rehman, and other senior members of the association.

Munawar Iqbal, on the occasion, informed the president of the ICCI that the computer and IT business in Pakistan had dropped to lowest level due to non-enabling business environment and struggling to survive with 70 percent reduced sales.

He said the businesspersons in the sector were continuously being harassed by the FBR with serving of undue notices.

On the other hand, smuggling is being patronised to protect the vested interests of individuals in the regulatory body.

He added further that the PCA was looking forward to exploring new opportunities, while working closely with the ICCI.

We also need to find ways to get benefit from the opportunities that the CPEC may offer, and it would help in job creation in the country as well.

After Covid-19, when dependency has increased on online education, we may promote digital access equality by offering exemptions on computer and laptops and hence, students from low-income groups could get benefits.

Earlier, Ibrarul Haq, president of PCA, Islamabad, highlighted the ordeal of the affected members of the community due to unfortunate eruption of fire at Hafeez Centre, Lahore, and similar instances in Karachi.

He lamented that that there were no fire safety measures in place on the part of government and thus, businesspersons in the industry had to face unbearable losses.

He urged the government to ensure compensations to the affected business.

Copyright Business Recorder, 2020