Pkrevenue.com

Month: May 2019

  • Rupee gains another 50 paisas in interbank

    Rupee gains another 50 paisas in interbank

    KARACHI: The Pak Rupee gained another 50 paisas against US dollar on Friday owing to inflows related to Eid improved the supply.

    The rupee ended 147.90 to the dollar from previous day’s closing of Rs148.40 in interbank foreign exchange market.

    The interbank foreign exchange market was initiated in the range of Rs147.50 and Rs147.75.

    The market recorded day high of Rs148.25 and low of Rs147.25 and closed at Rs147.90.

    The exchange rate in open market also witnessed 50 paisas increase in rupee value.

    The buying and selling of dollar was recorded at Rs147.50/Rs148.50 from the previous day’s closing of Rs148.00/149.00 in the cash ready market.

  • Ministry opposes suggestions to allow commercial import of used cars

    Ministry opposes suggestions to allow commercial import of used cars

    ISLAMABAD: The ministry of industries and production has opposed the suggestions to allow commercial import of used and old motor cars into Pakistan.

    In an office memorandum, the ministry said that a meeting was held earlier this month with the car dealers federation to analyse suggestions to devise import and re-export of used vehicles policy 2019/2029 wherein it was unanimously observed that the dealers were interested in commercial import of used/old cars.

    The ministry said that as for the investment plan of $3.2 billion, the same seems irrational as importers do not plan to build any manufacturing facilities in near future. The Engineering Development Board (EDB) has therefore opined that proposed plan will negatively affect existing OEMs, new entrants and auto part manufacturers.

    The ministry further said that it is important to consider that Auto Development Policy (ADP) 2016-2021 has attracted investment of more than $1.3 billion so far from foreign investors who are at various stages of setting up their projects.

    Under ADP 2016/2021, fifteen new investors have been granted Greenfield status and under Brownfield category two closed down units have been revived, the existing OEMs are enhancing their capacities, their production and other new entrants are expected to start their production/complete their manufacturing facilities shortly. As per business plans, few new entrants have planned to export as well.

    “In view of above, allowing commercial import for domestic market would be against the spirit of Automotive Development Policy 2016/2021, which was prepared in consultation with Board of Investment, FBR and Ministry of Commerce etc.”

    It is also pertinent to point out that import of used cars would be at odds with the relevent import policy provision, hence it is requested to reject the proposal.

  • Hafeez Shaikh discusses budget proposals with chambers of commerce and industries

    Hafeez Shaikh discusses budget proposals with chambers of commerce and industries

    ISLAMABAD: Dr. Abdul Hafeez Shaikh, Adviser to Prime Minister on Finance and Revenue on Thursday met presidents of various chamber of commerce and industries to discuss proposals for budget 2019/2020.

    The Presidents and representatives of Lahore, Faisalabad, Sialkot, Karachi and Federation of Chambers of Commerce and Industry were at the meeting.

    The representatives of various chambers briefed the adviser about problems and challenges being confronted by the economy of the country.

    They gave various suggestions aimed at improving the economy and industrial sector of Pakistan.

    The delegation proposed ways and means to enhance the export of the country.

    The delegation also gave proposals for the budget 2019/2020.

    In order to facilitate the business community and attract foreign investment, the adviser informed that the government was focusing on improving the ease of doing business.

    He stated that the role of private sector was highly important in improving the economy of the country and urged the members of business community to play their role to increase the volume of exports.

    He assured that the proposals of the chambers would be considered and a business-friendly budget would be presented.

    Apart from the representatives of the chambers, the meeting was attended by Adviser to PM on Commerce, Textile, Industry and Production and Investment, Abdul Razak Dawood, Minister of State for Revenue, Muhammad Hammad Azhar, Secretary Finance, Naveed Kamran Baloch, Chairman, FBR, Shabbar Zaidi and Adviser, Ministry of Finance, Dr. Khaqan Najeeb.

  • ECC approves Rs20 billion fund to support stock market

    ECC approves Rs20 billion fund to support stock market

    ISLAMABAD: The Economic Coordination Committee of the Cabinet (ECC) on Thursday approved State Enterprise Fund worth Rs20 billion to support the stock market of the country.

    Adviser to Prime Minister on Finance, Revenue and Economic Affairs, Dr. Abdul Hafeez Shaikh, chaired the meeting of the Economic Coordination Committee (ECC) of the Cabinet.

    In order to stabilize the stock market of the country, the ECC approved the proposal of Finance Division authorizing Government of Pakistan to issue sovereign guarantee amounting to Rs20 billion for investment in National Investment Trust (NIT)-State Enterprise Fund.

    Secretary, Ministry of National Food Security and Research updated the Committee about the wheat situation in the country.

    He informed that the country was in comfortable position with having 7.257 million tons of wheat available in the stock.

    Ministry of Maritime Affairs suggested various proposals on the revival and development of shipping industry in Pakistan.

    The Committee noted the proposals and advised Ministries of Petroleum and Maritime Affairs to jointly come up with a comprehensive proposal, in next ECC meeting, for introducing a dynamic shipping policy focusing on expansion and development of local shipping industry.

    The ECC acceded to the proposal of Ministry of States & Frontier Regions to grant Rs.781,591,000/- for arranging 20,000 Metric Tons of wheat for Temporarily Displaced Persons of erstwhile FATA.

    The ECC also approved Supplementary and Technical Supplementary Grants for various Ministries/Divisions.

  • Banks assure providing details of Benami account holders to FBR

    Banks assure providing details of Benami account holders to FBR

    ISLAMABAD: The commercial banks have assured the Federal Board of Revenue (FBR) of providing details of Benami account holders for the purpose of broadening of tax base and documentation of economy.

    An important meeting was held on Thursday of all chief financial officers with Syed Muhammad Shabbar Zaidi, chairman, FBR.

    The CFOs of all commercial banks assured complete cooperation to the FBR chairman in providing details of account holders in order to broaden the tax base.

    The participants of commercial banks included Chief Financial Officers of Allied Bank, United Bank, Habib Bank and others.

    They assured their full cooperation to the Chairman FBR and welcomed his appointment as Chairman FBR.

    The Chairman FBR thanked the Chief Financial Officers.

    FBR sources said that the meeting was important related to next review of Financial Action Task Force (FATF) on Pakistan.

    It is learnt that huge amount of money laundering was done through Benami bank accounts besides those were also used for tax evasion.

    The FBR chairman has already made it clear that the current amnesty scheme is the last opportunity for people having undeclared income and assets.

  • Foreign exchange reserves slipped to $15.09 billion

    Foreign exchange reserves slipped to $15.09 billion

    KARACHI: The foreign exchange reserves of the country have slipped by $36 million to $15.09 billion by week ended May 24, 2019 as compared with $15.126 billion a week ago, State Bank of Pakistan (SBP) said on Thursday.

    The official reserves of the central bank came down by $47 million to $8.01 billion by week ended May 24, 2019 as compared with $8.057 billion a week ago. The SBP attributed the decline in foreign exchange reserves of the central bank to external debt services and other official payments.

    However, the reserves held by commercial banks increased by $11 million to $7.079 billion when compared with $7.068 billion a week ago.

  • Stock market makes nominal gain amid selling pressure

    Stock market makes nominal gain amid selling pressure

    KARACHI: The stock market ended flat on Thursday after witnessed high band trading during the day.

    The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 35,974 points as against 35,959 points showing an increase of 15 points.

    Market carried with the momentum showed yesterday and opened on a positive note today with +259 points and 3M shares traded on the opening bell.

    During the session, the index went up by 577 points however, selling pressure brought the market down to -304 points at a point in time again.

    The main cause of concern was again Market Support Fund, where rumours kept circulating that it has not yet been approved, despite clarity given by SECP Chairman and Advisor to Finance Ministry.

    By the end of session, ECC’s approval of EMOF and SEF (Enterprise Funds) brought some confidence back to the investors, however, market did not recover the eroded points.

    Banking sector led the volumes table with 40M shares, followed by Cement sector (38M). BOP contributed more than half the traded volumes in Banking Sector, whereas MLCF led the Cement Sector with 14M shares.

    Sectors contributing to the performance include Banks (+69 points), O&GMCs (+59 points), Autos (+19 points), Fertilizer (-68 points), Power (-38 points), Textile (-27 points), Cement (-23 points).

    Volumes increased from 182.5mn shares to 199.1mn shares (+9 percent DoD). Average traded value also increased by 17 percent to reach US$ 59.7mn as against US$ 51.1mn.

    Stocks that contributed significantly to the volumes include BOP, MLCF, UNITY, KEL and SNGP, which formed 38 percent of total volumes.

    Stocks that contributed positively include BAHL (+31 points), PSO (+23 points), UBL (+22 points), SNGP (+20 points) and NESTLE (+14 points). Stocks that contributed negatively include FFC (-35 points), HUBC (-32 points), ENGRO (-26 points), NML (-19 points) and OGDC (-15 points).

  • Rupee makes sharp gains of Rs1.35 against dollar

    Rupee makes sharp gains of Rs1.35 against dollar

    KARACHI: The Pak Rupee made significant recovery of Rs1.35 against dollar on Thursday owing to measures taken by the government to check illegal outflows of the foreign currency.

    The rupee ended Rs148.40 to the dollar from previous day’s closing of Rs149.75 in interbank foreign exchange market.

    The interbank foreign exchange market was initiated in the range of Rs149.75 and Rs150.00.

    The market recorded day high of Rs149.75 and low of Rs148.25 and closed at Rs148.40.

    Currency experts said that the availability of the foreign currency was also improved as expatriates are sending amount to their relatives for Eid related expenses.

    The exchange rate also witnessed improvement in the value of local currency.

    The buying and selling of dollar was recorded at Rs148.75/Rs149.50 from previous day’s closing of Rs149.00/Rs150.00 in cash ready market.

  • SRB suspends sales tax registration of Multinet Pakistan

    SRB suspends sales tax registration of Multinet Pakistan

    KARACHI: Sindh Revenue Board (SRB) has suspended sales tax registration of M/s. Multinet Pakistan (Pvt.) Limited for defaulting tax payment and non-compliance in filing monthly sales tax return.

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  • ICAP proposes restricting powers of Directorate General Intelligence and Investigation

    ICAP proposes restricting powers of Directorate General Intelligence and Investigation

    KARACHI: Institute of Chartered Accountants of Pakistan (ICAP) has proposed restricting powers of Directorate General of Intelligence and Investigation (I&I) as multiple powers of tax authorities are causing hardship for taxpayers.

    The ICAP in its tax proposals for budget 2019/2020 said that the Federal Board of Revenue (FBR) through SRO 115 (I)/2015 dated February 09, 2015 conferred upon the Directorate General (Intelligence and Investigation), Inland Revenue, the powers of the Chief Commissioner/Commissioner:

    — to exercise powers and perform functions under Sections 174, 175, 176, 177 (other than power to initiate audit), 178, 179, 180, 181, 182, Part III, Part XI of Chapter X, Sections 205 and 221; and

    — to investigate Suspicious Transactions Reports (STRs) or other assets of persons or classes of persons impounded by any department or agency of the Federal or Provincial government and prepare/transmit reports to respective RTOs or LTUs for the purpose of application of Section 111 and for taking appropriate action under the Income Tax Ordinance, 2001.

    The ICAP recommended that the law should be amended so that the authority of Director General Intelligence and Investigation is exercised only to investigate Suspicious Transactions Reports (STRs) or other assets of persons or classes of persons impounded by any department or agency of the Federal or Provincial government and prepare / transmit reports to respective RTOs or LTUs for the purpose of application of Section 111 and for taking appropriate action under the Income Tax Ordinance, 2001 and should not exercise the powers under various sections of the Ordinance.

    The creation of parallel authorities for the purpose of sections 174, 175, 176, 177, 178, 179, 180, 181, 182, Part III, Part XI of Chapter X, Sections 205 and 221 is causing problems to the taxpayers.