Pkrevenue.com

Author: Mrs. Anjum Shahnawaz

  • Rupee eases against dollar as payment demand persists

    Rupee eases against dollar as payment demand persists

    KARACHI: The Pak Rupee eased by three paisas against dollar on Wednesday as high demand remained persist for import payment.

    The rupee closed at Rs160.77 to the dollar from previous day’s closing of Rs160.74 in interbank foreign exchange market.

    Currency dealers said that the local unit was under pressure because market due to higher demand for import and corporate payments.

    Further, they said that after ease in lockdown the demand was increasing and importers started purchasing dollars for future buying.

    The currency experts said that fall in exports and remittances also put pressure on the local currency.

    Overseas Pakistani workers sent home $1.790 billion in April, compared with $1.894 billion in previous month.

    Pakistan received $18.781 billion in remittances in July-April FY2020, compared with $17.801 billion in the same period last year.

    However, the experts said that the local currency recovered on the back of improved economic indicators.

  • Pakistan Business Council urges Sindh to reopen industries

    Pakistan Business Council urges Sindh to reopen industries

    KARACHI: Pakistan Business Council (PBC) has urged Sindh government to allow industries to reopen with surety of safety compliance to prevent coronavirus.

    In a letter to Sindh Chief Minister on Wednesday, PBC appreciated the proactive steps taken by your government to contain the spread of the Covid-19.

    No doubt countless lives have been saved. We also record our appreciation of the phased and safety driven manner in which your government has allowed economic activity to resume.

    Many of our members in food, pharmaceutical, iron and steel and export sectors in Sindh have demonstrated a heightened sense of responsibility to safe-work practices.

    There are anomalies between the sectors allowed to reopen by various provinces. These are working to the detriment of those with manufacturing facilities in Sindh.

    As a result, the Sindh based units are losing revenue and market share, whilst continuing to pay employees and incur fixed costs.

    A case in point is electronic appliance manufacturers which have been allowed to reopen in Punjab, whilst those in Sindh are still locked down.

    PBC advised the Sindh government to allow industries other than steel, cement and apparel to resume operations, conditional of course to compliance with the SOPs prescribed.

    Prolonged shutdown carries the risk of permanent closure of some undertakings and the consequent loss of jobs and revenue to the Government of Sindh.

    The Pakistan Business Council (PBC) is a private sector business policy advocacy forum composed of the largest businesses including multinationals operating in Pakistan.

    Its members contribute nearly 25 percent of the national tax revenue, generate 40 percent of annual exports and contribute every 9th rupee to Pakistan’s GDP.

    Members operate in nearly all sectors of the formal economy and many have a strong presence in Sindh.

  • NCCPL announces CGT collection on May 29

    NCCPL announces CGT collection on May 29

    The National Clearing Company of Pakistan Limited (NCCPL) has declared that Capital Gain Tax (CGT) for the month of April 2020 will be collected on May 29, 2020.

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  • SBP tightens remittances reporting system

    SBP tightens remittances reporting system

    KARACHI: The State Bank of Pakistan (SBP) has implemented stricter reporting measures for monthly foreign exchange returns submitted by banks, aiming to ensure more accurate data on remittances.

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  • SBP allows reimbursement claims for payment of wages, salaries

    SBP allows reimbursement claims for payment of wages, salaries

    KARACHI: State Bank of Pakistan (SBP) on Tuesday decided to allow reimbursement claims for those business concerns, which paid wages and salaries through own resources.

    The central bank through a notification on April 10, 2020 launched refinance scheme for payment of wages and salaries to the workers and employees of business concerns considering the financial impact due to coronavirus and subsequent lockdown.

    The SBP said that those borrowers who had applied for the facility in the month of April, 2020 but could not get approval in April due to the formalities were allowed to claim reimbursement of April salaries and wages paid from their own sources.

    It has been decided to allow similar facilitation for the salaries of May 2020.

    “Hence, businesses, who applied for the facility under the captioned Schemes in May 2020, can pay wages and salaries from their own sources and claim reimbursement of the same after their financing is approved.”

    Further, to facilitate those borrowers who could not apply in month of April, 2020 and paid wages and salaries of April from their own sources can also claim reimbursement under the captioned schemes provided all other terms and conditions including not laying off the employees are met.

  • Islamabad Collectorate announces public auction of confiscated vehicles on May 21

    Islamabad Collectorate announces public auction of confiscated vehicles on May 21

    ISLAMABAD: The Model Customs Collectorate (MCC) Islamabad has announced a public auction of confiscated motor vehicles, scheduled for May 21, 2020.

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  • Textile exporters demand extension in filing duty drawback claim

    Textile exporters demand extension in filing duty drawback claim

    KARACHI: Textile exporters have demanded the commerce ministry of allowing extension in filing claims for duty drawback up to July 31, 2020.

    Pakistan Hosiery Manufacturers Association (PHMA) in a statement on Tuesday said that the commerce ministry should consider extension in cut-off date of submission of incremental claims of Duty Drawback on Taxes (DDT) for the year 2018-2019 from May 31, 2020 to July 31, 2020.

    This will facilitate and enable textile exporters to submit their claims at convenience without hassle, in view of global business slowdown, lockdown amid COVID19 and reduced working hours for the last almost two months.

    Likewise, in current scenario and unprecedented set of challenges being confronting to the textile industry, the government should also consider and facilitate textile exporters by allowing them to submit remaining 50 percent incremental duty drawback of taxes claims under Duty Drawback Order 2018-21 on achievement of 10 percent increase during financial year 2019-2020 on the basis of nine months’ performance as export production remained standstill and suffered during a whole quarter due to lockdown amid corona pandemic.

    This imperative and favorable move by the government will facilitate textile exporters and it will boost their confidence to achieve extra mile beyond in enhancement of exports in succeeding years.

    In his letter to Abdul Razak Dawood, Advisor to Prime Minister on Commerce, Textile & Investment, Chaudhry Salamat Ali, Central Chairman PHMA has drawn his attention towards Ministry’s Notification No. 1(42-B)TID/18-TR-II dated 3rd August 2018 for Duty Drawback of Taxes Order 2018-2021 according to which the Government provided extension in Prime Minister’s Package of Incentives for Exporters in order to provide drawback of taxes collected from textile exporters.

    Duty Drawbacks on Taxes (DDT) under the Order shall be allowed for shipment made from 1st July 2018 to 30th June 2021 while the cut-off date for filing of claims for exports in each financial year shall be 31st July May of the subsequent year.

    Salamat Ali apprised that several member exporters approached informing that they have been facing inconvenience, amid economic slowdown and lockdown due to COVID19, to process and complete the procedural requirements as per Duty Drawback of Taxes Order 2018-2021 to submit their DDT incremental claims for the year 2018-2019 at Banks/Authorized dealers by cut-off date 31st May 2020 which is approaching very fast.

    Due to COVID19 textile industry of Pakistan was affected and remained totally closed for a period of around 50 days and industries resumed operations/ productions after special permission from the Government. Country has faced a complete lockdown situation from 23rd March 2020.

    In such a scenario, banks as well as SBP are open with reduced working hours and limited number of staff which has been causing delays. Last year the Ministry had also extended the cut-off date to 31st May 2019 to 31st July 2019, consequently, in view of current scenario, date of submission of DDT claims for year 2018-2019 must be extended from 31st May 2020 to 31st July 2020 with necessary advice to State Bank of Pakistan, accordingly.

    Salamat Ali added that economic slowdown in the wake of COVID19 has brought detrimental effects on the textile industry and exports of Pakistan. The Textile Export Industry has faced colossal financial losses due to cancellation of orders, delayed payments against LCs, disputes as some buyers refused to collect the export shipments at destinations.

    The textile industry resumed operations after two months acquiring special permission, nonetheless, supply chain remained disruptive due to closure of allied industry which provides supplies and materials to smoothly run the wheels of textile export industries.

  • FBR takes notice of closure of field offices

    FBR takes notice of closure of field offices

    ISLAMABAD: Federal Board of Revenue (FBR) has taken serious notice of without approval closure of field offices for prevention against COVID-19 (coronavirus).

    In an official notice issued on Tuesday, the FBR said that it had been observed with grave concern that field offices, unilaterally decided for closure of offices without approval of the Board while dealing with cases of COVID-19.

    “This action not only causes embarrassment to the board but also leads to interruption in service delivery of the organization,” the FBR said.

    The FBR said that although the tax body places a premium on the safety of its human resource, however, it is important that while taking precautionary steps, simultaneous measures are also taken to ensure uninterrupted provision of services to the taxpayers.

    The FBR directed all the field formations to ensure close liaison with Admin Wing, FBR and in future, while dealing with matters related to COVID-19 pandemic or any decision regarding closure or other admin related matters, the same shall only be taken with prior approval of Member (Admin).

  • PEPA seals Monal Restaurant for illegal activities

    PEPA seals Monal Restaurant for illegal activities

    ISLAMABAD: Pakistan Environment Protection Agency (PEPA) and Commissioner Office, Islamabad on Tuesday sealed off the popular Monal Restaurant located in Marghalla Hills for illegal tree cutting for its expansive construction activities.

    The Climate Change Ministry Media focal person, Muhammad Saleem, told media that it was brought to the notice of the Prime Minister’s Advisor Malik Amin Aslam that illegal construction activities for expansion of the Monal restaurant were gonging on for a few days and initiated by management of the restaurant, which led to a significant loss of tree cover and land degradation in its vicinity.

    “Taking serious notice of the illegal construction activities and tre cutting, the advisor Malik Amin Aslam on Tuesday directed the Pakistan Environmental Protection Agency Islamabad (Pak-EPA Islamabad) to take legal action against the culprits,” he told media.

    Later, Pak-EPA Islamabad and the Chief Commissioner Islamabad office moved together and sealed off the Monal restaurant and lodged FIR against the culprits at the Islamabad Secretariat Police Station, the media focal person Muhammad Saleem said further.

    He told media that few pictures of tree cutting and land leveling appeared in social media widely.

    The same was shared with the Chief Commissioner, ICT by the Pakistan Environmental Protection Agency (Pak-EPA) and Ministry of Climate Change (MoCC) to take immediate action. Resultantly, the District Administration conducted the raid on 18-05-2020 evening and it was observed that images of destruction activities appeared in social media were authentic and genuine in nature.

    During the raid, two persons namely Muhammad Sagheer and Muhmmmad Naeem were arrested on the spot and FIR NO 224/20 has also been lodged in Police Station Kohsar, F/7, Islamabad, the media focal person added.

    He said furrher rthat simultaneously, a case was fixed in the larger Bench of the Honorable Supreme Court of Pakistan regarding the stone crusher and protection of the MHNP, the instant matter has also been discussed by the Honorable Court and order is being issued including immediate stoppage of the all construction activities in the MHNP extended in Punjab and Khyberpakhtunkhaw including all types of hotels, rental residential construction.

    However, order copy is awaited. It is pertinent to mention that Pak-EPA also took action about these restaurants in MHNP as all have been constructed without any environmental approval and causing damages to eco-system and increasing load pollution in the vicinity. He informed that the prime minister’s advisor Malik Amoin Aslam along with the climate change ministry’s high officials will visit the damaged site tomorrow on Wednesday and take stock of the damage caused to the land and trees.

    The ministry’s media focal person also added that tree plantation activities will also be carried out by him in support with the local forest officials at the damaged site for its rehabilitation. It is pertinent to mention that Pak-EPA also took action about these restaurants in MHNP as all have been constructed without any environmental approval and causing damages to eco-system and increasing load pollution in the vicinity, according to the climate change ministry official.

    Margalla Hills National Park (MHNP) falls under the jurisdiction of Islamabad Capital Territory (ICT) and also extended into Khyberpakhtunkhaw and Punjab as per notification of April, 1978. Few parts of the said MHNP are also located in Shakarparian and Rawal Lake area within ICT.

    The MHNP has been declared as protected National Park and no major construction activity causing damage to the environment, ecosystem and flora & fauna of MHNP is allowed.

    In the year 2005, a restaurant named Monal was allowed construction by the Capital Development Authority (CDA). Later on, few other restaurants including Lamontana, Gloria Jeans, Whispering Pines (located in KPK) and some other recreational activities spots were constructed in the MHNP in KPK area as well.

  • Equity market gains 354 points on improved trading on energy sector

    Equity market gains 354 points on improved trading on energy sector

    KARACHI: The equity market gained 354 points on Tuesday as trading activities seen in energy sectors after improved prices in international crude oil.

    The benchmark KSE-100 index closed at 34,185 points as against 33,804 points showing an increase of 354 points.

    Analysts at Arif Habib Limited said that the market opened on a positive note today and went up by 546 points during the session. Increasing international crude prices helped E&P, OMCs and Refinery sectors contribute to the growth in index. Besides, Pharmaceuticals posted price gains on the back of prospects of working towards cure for Corona virus, whereby FEROZ, SEARL, ICI made significant strides during past several sessions.

    Profit booking, however, was observed in FEROZ. Banking sector also showed some signs of recovery, however, price gains remained muted. Cement sector saw continued attrition during past sessions and today saw rather aggressiveness, post realization of interest rate cut.

    O&GMCs posted highest trading volume among sectors with 40 million shares, followed by Technology (35.3 million) and Cement (32.8 million). Among scrips, HASCOL led the volumes with 31.6 million shares, followed by TRG (16 million) and MLCF (12.7 million).

    Sectors contributing to the performance include E&P (+106 points), Pharma (+52 points), O&GMCs (+40 points), Misc (39 points), Banks (+24 points) and Cement (-15 points).

    Volumes declined from 261.9 million shares to 247.8 million shares (-6 percent DoD). Average traded value, on the contrary, increased significantly from US$ 45.4 million to US$ 65.2 million (+44 percent DoD).

    Stocks that contributed significantly to the volumes include HASCOL, TRG, MLCF, PAEL and KEL, which formed 33 percent of total volumes.

    Stocks that contributed positively to the index include OGDC (+60 points), PPL (+37 points), PSEL (+31 points), SNGP (+26 points) and DAWH (+22 points). Stocks that contributed negatively include ENGRO (-13 points), MEBL (-9 points), PIOC (-9 points), CHCC (-8 points), and AICL (-7 points).