The Lahore Chamber of Commerce and Industry has handed over a set of proposals to Inland Revenue Chief regarding immediate withdrawal of SRO 821(I), 2011 to pave the way for much needed expansion in the tax net.
The LCCI President Irfan Qaiser Sheikh told the Inland Revenue Chief who called on him at the LCCI that the business community was extremely perturbed by FBR's stance to implement SRO 821(I)/2011 requiring importers, exporters and manufacturers to provide CNIC or NTN of all non-registered buyers with monthly Sales Tax and Federal Excise Returns.
The SRO 821 (I) 2011 is not the only solution while LCCI wants that all incomes should be taxed irrespective of the source and it does support the idea of increasing the tax burden on those individuals and businesses that are regularly paying their dues, he said. He also pointed out that manufacturers cum importers have to obtain Reduced Rate Certificate in order to pay 3 percent withholding tax instead of paying 5 percent.
As there is no such provision in the law and tax payers end up wasting their precious time in fulfilling these requirements therefore it is suggested that the claim of such registered taxpayers should be verified through online database to expedite the process of granting Reduced Rate Certificate, he added.
The LCCI has also noticed that it is very difficult for ordinary taxpayers to get Income Tax Exemption Certificate because it is unnecessarily time consuming and involves a cumbersome process. This needs to be addressed on priority basis, he maintained and urged the Chief Commissioner to set a clear timeline for completing inquiries as the LCCI has received a number of complaints from its members that when they are faced with an inquiry, the investigations often prolong for very long periods which greatly disturbs business operations of taxpayers.