Chairman, Indenters Association of Pakistan (IAOP), Khurram Sayed has urged Chief Minister Sindh Syed Qaim Ali Shah that Indenters should be exempted from enrolment in Sindh Board of Revenue (SRB). In its budget proposal to the provincial government for the year 2016-17, he suggested withdrawal 14 percent sales tax on services of indenters imposed last year.
"The Indenters services are for foreign suppliers so it is export of services and by law export is exempted from sales tax. Apart from it, the exporters are falling under the domain of federal government not in provincial government," he argued. Indenters are already paying 5 percent withholding tax to Federal Board of Revenue (FBR), he pointed out.
Former chairman IAOP Saquib Fayyaz Magoon demanded that SRB should withdraw their show-cause notices issued to Indenters till the decision of court. He further said that the indenting business had already reduced due to under invoicing and smuggling and remaining business was suffering badly due to the unjust taxes.