PESHAWAR: The Sarhad Chamber of Commerce and Industry (SCCI) has urged the federal government to incorporate its proposals in the upcoming fiscal budget for 2021-22, besides it asked to give special relief to traders community in the next budget, including ‘tax-exemptions’, waiving off property rents, utilities bills and other incentives.
The demand was made by SCCI president Sherbaz Bilour through proposals for the upcoming financial year budget 2021-22, which had been presented before the federal government, according to a statement issued here on Wednesday.
The SCCI sought the special financial relief package, including ‘tax-relief’, reduction in ratio of taxes, special incentives for Covid-19 hit businesses and building a favorable business climate and competitiveness environment among local and foreign investors.
The concessional measures are inevitable to cope with the post Covid-19 crisis situation, which has miserably hit local businesses, industrial sector as well as dwindled the national economy in the country, says Sherbaz Bilour.
Emphasizing the abolishment of double taxation and cut in ratio of the number of taxes, the SCCI chief said that the special exemptions which are being offered to foreign investors, need to be reviewed to keep local industries and investors competitive, besides to enhance revenue by the Federal Board of Revenue (FBR).
Sherbaz Bilour said that the overseas investors chambers of commerce and industry (OICCI) had made emphasis on sustaining the ongoing tax reforms process however, he said that policies need to be changed while keeping in prevailing economic conditions.
In the budget proposals, the SCCI chief said they have asked for utilization data of National Database Registration Authority (Nadra) for identifying potential taxpayers.
Similarly, he said special financial relief and tax holidays for next three years has been proposed to revive the Covid-19 affected businesses and economy, besides in another suggestion, the SCCI has asked to give slump sum rebate on overall taxes as per case.
Sherbaz Bilour said in the budget proposal, it has identified that the current taxation policy is unsatisfactory for broadening the existing ‘tax-base’, which should be reviewed to promote tax-culture in the country.
To encourage tax-payers, the chamber president stated that they have proposed to give special concessions in tax with a ratio of 15-20 percent in the next fiscal budget.
The SCCI chief said the government relief measures and incentives would not only create a friendly atmosphere between business community, withholding agents and FBR, including the corporate sector, but it would also help to enhance the ratio of withholding tax.