Govt plans to launch bonds scheme for exporters: Haroon Akhtar

Advisor to the Prime Minister on Revenue, Haroon Akhtar said that the government was working on a bonds scheme for the exporters having refunds claims against Federal Board of Revenue (FBR).

This scheme would be introduced in the annual budget for 2016-17 to provide liquidity to the exporters, he said during an interactive session with the members of Karachi Chamber of Commerce and Industry (KCCI). These pending claims make a huge amount and creating liquidity problem for the exporters of the country.

The PM's Advisor also assured the business community that the exporters having refunds claims up to Rs 5 million would get payments till March 15, 2016. FBR had already made payments to 90 per cent of this category of exporters. Haroon Akhtar informed that the recommenda- tions by Tax Reforms Committee (TRC) which included representatives of the main chambers of the country.

A committee for implementation of TRC recommendations had formed and it is headed by him (Haroon). Former President KCCI and Chairman of Businessmen Group (BMG) Siraj Kassam Teli demanded that at least three business community's representatives be placed on this committee.

The Advisor responded that Teli's proposal would be seriously considered. Akhtar said that he wanted to bring change in tax system and wanted to add value to the economy. He urged the business community to come into tax net and pay taxes so that the rate of taxes could be slashed.

Other well-off people also must declare their wealth honestly and pay due taxes. He hinted that the non-filers would have to face strict legal action. "It is very regrettable that most private businesses do not declared actual figure of turnover. Even hospitals and schools show very nominal amount of profits against their big annual earnings," he added. He said the government led by Prime Minister Muhammad Nawaz Sharif had succeeded in achieving macro economic stability in the country.

Now, he continued, it wanted real economic growth and the target for this year was at least seven percent. As a result of the better policies of the government, the local and foreign investment was coming in different sectors, he said.

He listed the achievements of the federal government on social and economic fronts. He said the legitimate businesses should be encouraged as these also create new jobs in the country.

To a question, he said 80 per cent smuggling from Quetta had been controlled by law enforcing agencies. President KCCI Younas M. Bashir, Chairman, Businessmen Group ( BMG) and former President KCCI, Siraj Kassam Teli, former presidents KCCI Haroon Farooqui and Anjum Nisar apprised the Advisor of the issues relating to FBR.