Khawaja Jalaluddin Roomi, Chairman of All Pakistan Bed-sheets & Upholstery Manufacturer Association (APBUMA) has said that the industrial sector should not be made a scapegoat for the inefficiencies of government departments, either contributing in the overall deficit or responsible for increasing tax net.
He was commenting on the promulgation of various ordinances issued by the President of Pakistan, Asif Ali Zardari. Khawaja Roomi said that the additional taxes, whether in the form of flood surcharge, Reformed General Sales Tax or increased Special Excise Duty will ruin the entire industrial sector. He further said that 15 percent surcharge on income is unjustifiable with the given inflation. This will affect the entire economic and social fabric of our country, he added.
He was of the view that floods had given a severe blow to our economy, but the industrial and business sector, on the call of their social responsibility generously contributed billions of rupees in Prime Minister's Flood Relief Fund, as well as vigorously undertook rehabilitation work in their individual capacity.
Chairman APBUMA showed grave concern over the scraping of zero rating for the textile sector in the form of Reformed GST. He termed the decision a clear contradiction of the textile policy 2009-14 wherein it was promised to keep the rating status of the sector. He stressed the need to take measures within the scope of this policy. Roomi was of the view that application of GST on inputs of textile and other industrial sector would be detrimental, as cost would escalate new levels of industrial stagnancy.