Aptpma Concerned Over Review Of Sales Tax Regime

All Pakistan Textile Processing Mills Association (APTPMA) has said that all benefits and relief under GSP Plus scheme, which are being expected by the value added textile industry, are in doldrums and danger, because govt is reviewing sales tax regime to increase its rates from 2 per cent to 17 per cent on the value added textile processing industry.

These grave apprehensions were expressed by APTPMA at an emergent meeting chaired by Sheikh Muhammad Ayub, Central Chairman APTPMA. Besides expressing satisfaction on constitution of Textiles Executive Committee by the Ministry of Textile Industry, APTPMA, through a unanimous resolution adopted in the meeting has expressed great concern over review of sales tax regime and other issues faced by the industry, and has criticised on inclusion of a member by name in the newly constituted textiles committee besides chairmen of the associations.

Elaborating, APTPMA has said that a couple of days ago Ministry of Textile Industry, GoP has constituted a Textiles Executive Committee comprises of Chairmen of leading textiles associations including APTPMA, in a view of challenges being faced by the textile sector, and the opportunities arising out of the award of GSP+ scheme, which is commendable and good step from the Government. But, review of sales tax regime and withdrawal of incentives on the pretext of so-called concessionary regime for the textile sector would cast devastating repercussion and harmful impact on the industry.

Through a unanimous resolution, APTPMA has stated with great concern that if present rate of sales tax increased, it will prove very harmful for the industry and benefits which are being expected under GSP Plus scheme will not be helpful for revival and prosperity of the textile industry, exports and economy of the country. Besides this, APTPMA has expressed great reservations on inclusion of a member by name or by his personal status in the said Textiles Executive Committee, who is representative of only one sector of Textiles. APTPMA has demanded of the Government to include name of "Muhammad Zubair Motiwala" in the newly constituted Textiles Executive Committee by Ministry of Textiles.

APTPMA has demanded of the govt to reduce the present rate of sales tax and other taxes imposed on the value-added textile industry for its complete revival and prosperity as the industry is playing a very important role for the development of our exports and economy. Government should take effective measures forthwith to curb all difficulties faced by the textile processing industry which are creating hindrances on the way of promotion of the industry ie delaying tactics for payment against sales tax claims, unnecessary notices by the environment department, increase of gas and electricity tariff recurrently and massive smuggling of textile products from China, India and other countries.

Source:- brecorder.com