LCCI demands immediate release of refunds

The Lahore Chamber of Commerce and Industry (LCCI) has urged the government to immediately release the refunds up to Rs50 million rupees besides clearing the refunds backlog within two months upon filing of the returns.

LCCI office bearers; President Irfan Iqbal Sheikh Senior Vice President Ali Hussam Asghar and Vice President Mian Zahid Jawaid Ahmed in their joint statement on Tuesday said that electronic filing and online payment should be made mandatory for all departments. Risk-management system should be improved to reduce the number of physical audits.

They said that implementation of these measures by the government will not only reduce the burden on existing taxpayers but will also encourage new taxpayers to come into the tax net besides improving Pakistan's international ranking in paying taxes. These measures are much needed to ease out the business community, they said.

They said that Pakistan stands at an appalling position of 161st in the doing business ranking of paying taxes. According to the World Bank Doing Business 2020 report, Pakistani businessmen pay 34 taxes in a year as compared to Hong Kong 3, UAE 5, Ireland 9, Malaysia 9 and India 12 and Pakistan has to compete with in the world economy.

While giving the break-up, LCCI office-bearers said that businesses in Pakistan make 1 payment of Corporate Income Tax in a year, 12 payments of Employer paid-Pension Contributions, 12 payments of Social Security Contributions, 1 payment of education cess, 1 payment of property tax, 1 payment of professional tax, 1 payment of vehicle tax, 1 payment of stamp duty, 1 payment of fuel tax and various other tax payments. The taxes are imperative to run the affairs of the government but these should be imposed in an efficient way, keeping in view the ground realities, they added.