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    Saturday, 28 April 2018

    Businessmen termed budget as balanced and friendly

    MULTAN, April 28th: The Business community of Southern Punjab has termed the Budget 2018-2019, as balanced and friendly budget for them however, they have some reservation about the revenue target set by government.
    While talking to  this scribe former President of  Multan Chamber of Commerce and Industry Khawaja Jalaluddin Roomi said that a number of good decisions have been part of the budget speech but a comprehensive reaction on this subject would be announced  after thoroughly studying the proposed finance document.He said the announcement of subsidiary and relaxation of duties on fertilizer, agricultural machinery is laudable as it will help boost the agriculture sector. “We appreciate the measures taken for non-filers, this will help to document the economy and increase the tax net,” he added.Farid Mughis A' Sheikh termed the proposed federal budget 2018-19 ‘a populist one’ saying a range of social welfare projects have been earmarked for the fiscal year. However, the export sector representatives deplored that the very sector has been totally ignored by the center with giving no reasonable incentives in this fiscal budget.Farid Sheikh said the proposed reduction on the rate of cash withdrawal from 0.6 to 0.4 on a permanent basis from non-filers is good step as this rate is being charged nowhere in the world except Pakistan. 
    He said majority of the points of chamber;s proposal sent to the federal government, have been addressed in the budget. Haji Muhammas Akram Chairman of Pakistan Cotton Ginners Association (PCGA) said that Cotton production would surely increase because Government has taken some effective measures for the betterment of farmers like reduction in GST ,withdrawal of taxes on agriculture Machinery,fertilizer,seed abnd other inputs ,however, showed reservations on the allocation of Rs57 billion for Higher Education, and said that country needs skilled labour at higher level. The universities must get more allocations to promote higher education.
    Syed Muhammad Aasim Shah Chairman of All Pakistan Bedsheet and Upholstry Manufacturers Association (APBUMA)said that reduction on taxes on dividends will help Pakistan Stock Market and reduction in super tax is also appreciated.
    He said that government has accepted 60 per cent of recommendations from business community.He said overall its friendly budget for business community, as government has waived off import duty on many items including dairy products, import of animal etc.Federal budget 2018-19 has not offered special incentives to small & medium industries in the country, which are struggling hard to survive in the face of high cost of production, representatives of small and medium industries stated on Friday Syed Muhammad Asim Shah added.Small & medium industrial sector is the backbone of the economy and a big contributor in the export earnings. It should have been given relief in taxation, but unfortunately it was left out in the priorities of the federal government when it presented its budget for the next financial year, representatives stated when Business Recorder approached them to solicit their views on federal budget 2018-19. 
    Khawaja Muhammad Usman Ex-President of MCCI said that business community recommended the government there should be ‘one tax system’ despite of having many taxes. “We hope that government would consider this recommendation in future,” he added. 
    Former President of MCCI Mian Iqbal Hassan believed that growing trade deficit is touching dangerous levels and it could have been controlled only through incentives to export sector to register remarkable growth in its earnings. SMEs being a major contributor in the export earnings would have been performing better if federal government would have incorporated the proposals regarding development of SMEs. Khawaja Muhammad Yousaf ex-President of Multan Chamber  welcomes the decision of selection for audit in respect of all three taxes; Income Tax, Sales Tax and Federal Excise Duty which had been made risk based and a case shall not be audited more than once in three years for each tax. He said concept of composite audit would also be introduced to ensure that audit of tax affairs under all tax laws is undertaken simultaneously to avoid inconvenience to the tax payers. 

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    Item Reviewed: Businessmen termed budget as balanced and friendly Rating: 5 Reviewed By: Asqamar