Withdrawal of GST on cottonseed demanded

28 Jun, 2004

A delegation of Pakistan Cotton Ginners Association (PCGA) would hold a meeting with Member Sales Tax Shahid Ahmad Khan in Islamabad on June 28 to plead its case regarding demand for withdrawal of general sales tax on cottonseed.
The delegation, to be led by PCGA Chairman Jetha Nand Kohistani, would also include vice chairman PCGA Multan circle Sajjad, VC Bahawalpur circle Mehmood Ahmad, Farooq Ahmad, Ibrahim, Suhail, Muhammad Azam and Rashid Mehmood, says a PCGA press statement.
Meanwhile, PCGA chairman and other office bearers told a news conference on Sunday that levy of GST on cottonseed would hardly help the government generate revenues.
"It would merely be a documentation exercise to yield nothing in terms of revenue as the government would have to refund the tax under the formula it has offered for receiving this tax," claimed PCGA chairman and other PCGA office-bearers.
They said that double registration of ginneries where oil mills are also functioning inside should not be allowed.
Levy of GST on cottonseed would cause undocumented sale which would affect the demand/supply system, they said, and demanded of the government to withdraw it.

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