LCCI urges Ishaq Dar, FBR to refund claims for Liquidity crunch
LAHORE : The Lahore Chamber of Commerce and Industry (LCCI) has urged Finance Minister Ishaq Dar and the Federal Board of Revenue (FBR) to release refund claims at the earliest, as the businesses are facing serious shortage of capital.
LCCI President Sheikh Muhammad Arshad, Senior Vice President Almas Hyder and Vice President Nasir Saeed said the FBR is hampering growth of the most productive sectors by denying the exporters and manufacturers their right of refund of sales and income tax.
They said that the delay in release of huge funds that runs into billions has triggered serious liquidity crunch for the exporters and manufacturers that might lead to closure of several industrial units.
The LCCI Office-bearers said the authorities concerned should take realistic view of the matter and allow the refunds of sales tax and income tax to exporters and manufacturers, who were facing severe hardships, at the earliest.
They said that the process to get refunds is so lengthy and cumbersome that sometimes takes months for a manufacturer or an exporter to get his/her own money refunded.
They said that the exporters are already facing financial crunch due to devaluation of euro while delay in refund of sales and income tax claims is adding fuel to the fire.
The LCCI members said that the businessmen were bearing huge financial cost on their own hard earned stuck-up money, therefore, the FBR chairman should look into the matter and ensure early release of sales tax and income tax refunds.
They said that the businessmen have now started feeling the pinch as the businesses were already in deep troubles and experiencing toughest times because of multiple internal and external challenges including an acute shortage of electricity and gas. “And now the delay in release of their own money was adding to their miseries,” they added.
LCCI officials said that it was a matter of concern that FBR machinery was using delay tactics and creating hurdles for the business doing people.
They urged the finance minister to take notice of the situation and issue directions to the FBR authorities to expedite stuck-up sales tax and income tax refund claims.