Pkrevenue.com

Author: Mrs. Anjum Shahnawaz

  • Pre-arrival customs clearance rolled out to five airlines

    Pre-arrival customs clearance rolled out to five airlines

    ISLAMABAD: Federal Board of Revenue (FBR) on Tuesday said that it has extended the pre-arrival custom clearance facility to five airlines.

    A FBR spokesman on a pilot project on customs clearance in the Sky that was started with Qatar Airways has now been rolled out to five other airlines.

    Urgent shipments on Turkish Airlines, Fly Dubai, Air Arabia and YTO cargo are being processed through customs risk management system hours before flight arrival at Karachi Airport.

    Pakistan Customs has introduced a pre-arrival clearance facility last month under its flagship pilot project ‘Clearance in the Sky’ at Model Customs Collectorate (MCC), Jinnah International Airport (JIAP) Karachi.

    The cargo manifest is filed in advance immediately after the take-off of the flight from the origin. The advance feeding of manifest allows the traders and their customs clearing agents to file their goods declarations to the customs.

    The declarations filed in advance are checked through the risk management system. An electronic message on the release status is sent to the traders while the goods are still in the air.

  • I&I IR to gather information of suspicious financial transactions

    I&I IR to gather information of suspicious financial transactions

    ISLAMABAD: The Directorate General of Intelligence and Investigation (I&I) of Inland Revenue has been empowered to gather information about suspicious financial transactions, including investment and expenses.

    The Federal Board of Revenue (FBR) on Tuesday issued SRO 272(I)/2021 to authorized the directorate for making various activities to identify income tax evasion.

    The functions of the Directorate-General of Intelligence and Investigation, Inland Revenue shall be:

    — To carry out intelligence activities, access and verification of business premises, access to record/documents or system maintained therein, intelligence gathering on all tax related issues including under-reporting, tax evasion and revenue leakages.

    — To collect information/record/documents from any person including taxpayer and third party-relating to financial transactions like investment and expenses etc. and details of persons who are involved in such activities.

    — To process information and take necessary action on the basis of information provided by any other organization, agency or department under the relevant provisions of Income Tax Ordinance, 2001.

    — To utilize the information obtained through establishment of linkages by the FBR with all major national, provincial other data bases to collect relevant information.

    — To identify cases of income tax evasion and carry out inquiry, investigation, whichever is deemed fit, to retrieve the loss of revenue; to identify, investigate and prosecute cases of tax evasion and/or offences punishable under the Income Tax Ordinance, 2001 and the rules made thereunder.

    — To share and disseminate actionable information and corroborating evidence, where required, through written reports or information reports or otherwise to authorities or officers in the headquarters and field formations of the FBR for further proceedings.

    — To process, investigate and prosecute complaints of tax evasion.

    — To process, investigate and prosecute information shared by other agencies.

    — To carry out any other work or function that may be assigned to it by the FBR.

  • Trade deficit widens to $17.3bn in July – February

    Trade deficit widens to $17.3bn in July – February

    ISLAMABAD: Pakistan’s trade deficit widened by 9 percent or $17.3 billion during first eight months (July – February) 2020/2021 of the current fiscal due to surge in import bill for the period, according to provisional data released by the ministry of commerce.

    The trade deficit widened to 17.3 billion during first eight months of the current fiscal year as compared with $15.87 billion in the same months of the last fiscal year.

    Import bill increased to $33.6 billion during the period under review as compared with $31.5 billion in the corresponding period of the last fiscal year, showing an increase of 6.6 percent.

    On the other hand, exports posted a growth of 4.2 percent to $16.3 billion during July – February 2020/2021 as compared with $15.64 billion in the same period of the last fiscal year.

    Abdul Razak Dawood, Adviser to Prime Minister of Pakistan for Commerce and Investment, in a tweet message commented that most of this growth came from increase in import of raw material and intermediate goods, which increased by 7.8 percent.

    The import of capital goods declined by 0.2 percent, while that of consumer goods decreased by 7.3 percent, he added.

    “This shows that the Make-in-Pakistan Policy of MOC is delivering dividends and industrial activity in the country is increasing. The import bill this year also increased because we had to import Wheat and Sugar to stabilize the market prices,” he said.

    Cotton was also imported to to help the Export-oriented industry so that the exports are not hampered.

    During Jul-Feb 2021, the import of Wheat amounted to USD 909 million, Sugar USD 126 million and Cotton USD 913 million (total of USD 1,948 million).

  • Huawei Middle East chief visits PTA

    Huawei Middle East chief visits PTA

    ISLAMABAD: President (Middle East Region) of Huawei Technologies, Charles Yang, visited Pakistan Telecommunication Authority (PTA) Headquarters in Islamabad, a statement said on Tuesday.

    The President was along with Mark Meng, CEO of Huawei Technologies Pakistan and Deputy CEO Ahmed Bilal Masud.

    The delegation met Chairman PTA Major General (Retd) Amir Azeem Bajwa and discussed matters of mutual interest and investment opportunities.

    The two sides discussed future plans of Huawei Technologies in Pakistan and development of innovative digital and financial solutions to accelerate progress towards digital Pakistan.

  • Stock market rebounds with 370 points gain

    Stock market rebounds with 370 points gain

    KARACHI: The stock market rebounded with 370 points on Tuesday after facing fall during past sessions.

    The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 45,964 points as against last day’s closing of 45,593 points, showing an increase of 370 points.

    Analysts at Arif Habib Limited said that the market bounced back today prior to the Senate elections, which hold importance for the incumbent government.

    Post announcement of majority of the financial results for the outgoing quarter, Investors have been booking profits on long held positions.

    However, prospects of release of Funds on account of circular debt resolution prompted investors to take positions in energy chain (O&GMCs and Power).

     Buying activity was also observed in Banks, Steel, Refinery and Textile sector.

    Among scrips, TRG led the volumes with 38.2 million shares, followed by ANL (31.3 million) and ASL (29.5 million).

    Sectors contributing to the performance include Banks (+109 points), Technology (+65 points), Power (+56 points), O&GMCs (+53 points) and Textile (+29 points).

    Volumes increased from 368.3 million shares to 399.2 million shares (+8 percent DoD). Average traded value also increased by 25 percent to reach US$ 145.5 million as against US$ 116.5 million.

    Stocks that contributed significantly to the volumes include TRG, ANL, ASL, BYCO and GGL, which formed 36 percent of total volumes.

    Stocks that contributed positively to the index include TRG (+66 points), HUBC (+32 points), PSO (+31 points), HBL (+30 points) and BAFL (+27 points). Stocks that contributed negatively include LUCK (-28 points), DAWH (-15 points), EPCL (-9 points), POL (-9 points) and HMB (-8 points).

  • Sales of POL products jump up by 26pc in Feb

    Sales of POL products jump up by 26pc in Feb

    KARACHI: The sales of petroleum products have sharply increased by 26 percent in February 2021 as compared with same month of the last year owing to higher economic activities after reduction in coronavirus cases.

    The sales of Oil Marketing Companies (OMCs) were recorded at 1.4 million tons in February 2021 as compared with 1.11 million tons in the same month of the last year.

    Analysts at Arif Habib Limited attributed the growth to resilience displayed by the economy and the ensuing demand for motor spirit.

    Further, the growth may be attributed to better agricultural yields resulting in higher sales of high speed diesel (HSD). Besides, cheaper motor spirit and HSD prices compared to same period last year.

    The massive growth in two/three/four-wheeler off-take and absence of CNG at fuel stations increasing the demand of motor spirit were also major reasons for sales of petroleum products.

    The analysts said that strict control on borders to control supply of illegal or dumped fuel from Iran also contributed to higher sales.

    The sales of petroleum products also exhibited 13 percent increase to 12.67 million tons during first eight months (July – February) 2020/2021 as compared with 11.24 million tons during the same period of the last fiscal year.

    Dissection of data revealed that major contribution to growth came from HSD and furnace oil as their off take jumped to 4.84 million tons and 2.09 million tons, up by 15 percent and 36 percent YoY against 4.21 million tons and 1.54 million tons in same period of the last year.

  • Dollar retreats for 7th consecutive days against Rupee

    Dollar retreats for 7th consecutive days against Rupee

    KARACHI: The US dollar retreated for seventh consecutive trading days after falling another 19 paisas against the local unit on Tuesday.

    The exchange rate was at Rs159.10 on February 19, 2021. Since then the local currency recovered Rs1.25 against the dollar in interbank foreign exchange market.

    On Tuesday the rupee closed at Rs157.85 to the dollar from previous day’s closing of Rs158.04 in the interbank foreign exchange market.

    Currency experts said that with the dip of 19 paisas the US dollar was at nearly one-year low in Interbank, trading at Rs157.85 as it was Rs157.35 on March 10, 2020. The dollar has fallen by 6.4 percent since its peak lost around Rs10.58 since August 26, 2020 when it was at record high of Rs168.43.

    The currency experts said that the rupee may make more gains in coming days owing to improved inflows of workers’ remittances and export receipts.

  • Istanbul-Tehran-Islamabad freight train resumes operation on March 04: Razak

    Istanbul-Tehran-Islamabad freight train resumes operation on March 04: Razak

    ISLAMABAD: Razak Dawood, Adviser to Prime Minister of Pakistan for Commerce and Investment, on Tuesday said that after a span of nine years the Istanbul-Tehran-Islamabad (ITI) Freight Train will resume operations from March 4, 2021.

    In a tweet message, the adviser said that Istanbul-Tehran-Islamabad (ITI) Freight Train will resume operations from March 04, 2021 after nine years.

    “It will complete the one-side trip in 12-days, with capacity to move 750 MT of goods.”

    This is a testament of friendship between the three countries and will go a long way in facilitating movement of goods between Pakistan, Iran & Turkey.

    “I congratulate  Senator Azam Swati for making this possible,” he said.

    I call on our exporters to take benefit of this alternative route and mode of transport and contact the ministry of commerce for any facilitation.

  • FBR devises mechanism for release of consignments stuck-up at Karachi ports

    FBR devises mechanism for release of consignments stuck-up at Karachi ports

    ISLAMABAD: Federal Board of Revenue (FBR) on Tuesday devised a mechanism for release of imported goods of FATA/PATA residents stuck-up at Karachi ports.

    A meeting was held under the Chairmanship of the FBR chairman with Inland Revenue-Operations and Customs Operations Wings to sort out the issues of imported goods of FATA/PATA residents stuck-up at Karachi Ports, Consumption/Installation Certificates, Postdated Cheques and Exemption Certificates under Section 148 of the Income Tax Ordinance, 2021.

    After thorough deliberations between the Chairman, Member (IR-Operations) and  Member (Customs-Operations) following mechanism was devised for the release of consignments of FATA/PATA residents stuck-up at the Karachi Ports:-

    The stuck-up containers are to be released by Customs authorities against Postdated Cheques (PDCs) and sent to their destination (FATA/PATA) under standard tracker mechanism.

    The Collector Customs (Enforcement & Compliance), Peshawar, will issue detention orders of the raw materials effective from day the consignment reaches the manufacturing premise of importers.

    The importer/manufacturer will be responsible to take the import documents alongwith detention order to the CIR concerned, RTO, Peshawar and make arrangements to have the manufacturing premises/raw material/machinery/goods imported verified.

    The CIR concerned, RTO, Peshawar will be liable to verify/undertake physical visit as conducted by the importer/manufacturer to the manufacturing premises where the goods are kept under detention, and allow the raw material to be consumed/utilized in writing.

    The CIR, concerned, RTO, Peshawar will ensure the monthly stock-taking of the raw materials to consumed in the production of manufactured goods by these manufacturing units. This stock-taking will facilitate in issuance of the

    Consumption Certificate under S.No.151 of the Sixth Schedule of the Sales Tax Act, 1990.

    The residents of FATA/PATA will apply for tax exemption certificates under section 159 of the Income Tax Ordinance, 2001 for the import of raw material/machinery in light of the Honorable Peshawar High Court, Mingora Bench, (Dara-ul-Qaza), Swat’s decision dated 24.11.2020.

    Commissioner Corporate, RTO, Peshawar and Collector Customs (Enforcement & Compliance), Peshawar would keep a close liaison to successfully implement the laid down mechanism.

  • Investors redeem Rs115 billion against suspended Rs25,000 prize bonds

    Investors redeem Rs115 billion against suspended Rs25,000 prize bonds

    ISLAMABAD: Investors have redeemed/enchased to the tune of Rs115 billion against bearer prize bonds of Rs25,000 denomination which were suspended by the government in December 2020.

    According to state media on Tuesday, the Central Directorate of National Savings (CDNS) had paid encashment of Rs 115 billion by February 28 to the investors against the suspension of prize bonds of Rs 25,000.

    An official of the CDNS quoted as saying that around Rs 115 billion had been paid to the customers during last three months and remaining 45 billion out of total Rs 160 billion would also be paid by May 30, 2021.

    On December 10, the State Bank of Pakistan (SBP) issued following instructions to the president and CEOs of all commercial banks regarding option to replace / encash the bonds:

    i. The Bonds can be converted to Rs. 25,000/-denomination Premium Prize Bonds (Registered) through the 16 field offices of SBP Banking Services Corporation, and branches of six authorized commercial banks i.e. National Bank of Pakistan, Habib Bank Limited, United Bank Limited, MCB Bank Limited, Allied Bank Limited and Bank Alfalah Limited.

    ii. The authorized commercial banks shall also issue Rs. 25,000/-denomination Premium Prize Bonds (Registered)as per the prescribed procedure, with immediate effect. Stock of the same has already been delivered to authorized commercial banks.

    iii. The bondholder shall be required to submit a written request for conversion of bearer bonds to Rs. 25,000/-Premium Prize Bonds (Registered) on the prescribed application form.

    iv. The bondholder shall also be required to submit prescribed application forms for registration / purchase of Premium Prize Bonds as per the procedure in vogue.

    Replacement with Special Savings Certificate (SSC) / Defence Savings Certificate (DSC)

    i. The Bonds can be replaced with SSC / DSC through the 16 field offices of SBP Banking Services Corporation, authorized commercial banks and National Savings Centers.

    ii. All authorized commercial banks shall, therefore, accept requests for replacement of bearer bonds with SSC or DSC on the prescribed application form.

    iii. The bondholder shall also be required to submit application form for purchase of SSC / DSC (SC-1) as per the prescribed procedure

    Encashment at Face Value

    i. The Bonds will only be encashed by transferring the proceeds to the bond holder`s bank account through the 16 field offices of SBP Banking Services Corporation, at authorized commercial bank branches and to the Savings Accounts at National Savings Centres.

    ii. All commercial banks shall receive requests for encashment of bearer bonds on the prescribed application form.

    A copy of the application form (Annexure A), duly signed and stamped, shall be provided to the bondholder as an acknowledgement receipt.

    Moreover, the prize bonds encashed / replaced by the general public may be surrendered to the concerned SBP BSC office through the respective regional office of the commercial bank.

    The government has already canceled prize bonds of Rs 40,000 and CDNS repaid to the investors the encashment worth of Rs 258 billion in 2019-20.