KCCI’s delegation discusses budget proposals

KARACHI: A delegation of Karachi Chamber of Commerce and Industry (KCCI) held threadbare discussions on KCCI’s budget proposals for federal budget 2019-20 with Chairman Federal Board of Revenue Jehanzaib Khan and his team at a meeting held at FBR.

During the meeting, consensus was developed on various major issues and the Federal Board of Revenue (FBR) officials, while agreeing to most of KCCI’s budget proposals, assured to implement the same in the upcoming budget.

The FBR officials, while responding to KCCI’s proposal, agreed to rationalise the tax structure for import of raw materials by commercial importers and manufacturers.

They also committed to review and curtail the discretionary powers vested to the officials of Inland Revenue which are a source of harassment and extortion of business and industrial community.

While discussing the raids and freezing of Bank Accounts, KCCI delegation and FBR officials reached a consensus that such harsh actions will only be taken in case of when evasion of very large amount is detected and only when concrete evidence is available rather than carrying out random raids on business entities.

KCCI delegation highlighted all major issues including issues pertaining to the income tax, sales tax and discretionary powers along with concessions and exemptions in various sectors of the economy which have resulted in the distortion of the tax regime.

In his remarks, Siraj Kassam Teli pointed out that the current tax regime, relevant laws and discretionary powers were being used to harass the business and industrial community and were hindering economic and industrial growth. “These laws have to be reformed in order to create a conducive environment for growth and liberalisation of trade and also for the revival of economic activities”, he added.

On the occasion, a comprehensive presentation was also given to the FBR team in which major taxation issues were highlighted and remedial steps were also given for ease of doing business and enhanced revenue generation.