Author: Mrs. Anjum Shahnawaz

Engro Fertilizers donates crop protection product to combat locust attack

KARACHI: Engro Fertilizers Limited has donated 6.7 tons of crop protection product with a market value of around Rs6 million to provincial governments to combat locust attack, a statement said on Thursday.

To combat the recent locust attack threatening the agricultural sector in Sindh and Punjab, the Government of Sindh and the Department of Plant Protection, Ministry of Food Security & Research, reached out to private sector companies to extend their support on urgent basis.

Considering the gravity and urgency of the situation and its impact on farmer community, Engro Fertilizers Limited donated the crop protection products.

Due to change of weather and recent spell of rains, the onslaught of desert locust swarms has hit rural and urban areas of Sindh and Punjab, damaging the agricultural produce in the region.

Engro Fertilizers being trusted partner of farming community of Pakistan, donated 13,430 packs of LAMBDA – Cyhalothrin, which is a world class product to fight locusts.

This is the single largest contribution by a company to counter the recent locust attack.

“We understand that the locust attack is very alarming and a grave threat to our farmers and the food security of Pakistan.

“Engro Fertilizers has always been at the forefront in fulfilling our commitment towards Pakistan’s agriculture development and we will continue to stand with the government.

“We are confident that our crop protection product will support the government and farmers to effectively overcome the locust attack.” said Nadir S. Qureshi, CEO Engro Fertilizers Limited.

With change of weather and recent spell of rains, some locust swarms have started to move towards southwest Pakistan and southeast Iran in search of warmer places.

These swarms from the summer breeding areas along both sides of the border of Pakistan and India started moving towards spring breeding areas in Southwest Pakistan and Southeast Iran lately.

The government is actively working towards curbing the impact on the crops and combats the locust attack.

The responsible corporate citizens of Pakistan like Engro Fertilizers Limited are always there to support the government and farmers sector of Pakistan in testing times to alleviate their issues.

November 21, 2019
Electric vehicles to help in saving $2 billion oil import payment: adviser

ISLAMABAD: The launch of electric vehicles in the country will help the country to save around $2 billion foreign exchange, which is spend on annually on oil import, Malik Amin Aslam, Prime Minister’s Adviser on Climate Change, said on Thursday.

Besides, adopting electric vehicle, the consumers could save over 30 percent cost of vehicle maintenance, because these do not require petrol or gas, no engine oil and driving them is highly comfortable, and affordable.

Addressing a press conference on Thursday along with private electric vehicle manufacturing stakeholders/investors, he told media that introduction of electric vehicles in Pakistan following the EV policy, which was framed after consultation with all relevant stakeholders from government and non-governmental sectors, are going to be a big change for the people to switch from fuelling at the pump to fuelling at an outlet.

He said that electric vehicle (EV) Policy would help revolutionize overall transport sector of the country in coming years and urban outlook with introduction of better, sustainable and environmental-friendly transport facility.

He also said that this policy, which has been approved by the Cabinet this year on November 5, would also significantly help boost pollution-free transport facilities in the country in a way that are not harmful to environment and do not emit any smoke and cause noise pollution.

From the running costs of electric cars to being very environmental-friendly, introduction of electric vehicles in the country will help cut country’s oil import bill, yield countless benefits for both environment and the people and their overall lifestyle and the way our cities look, the adviser said.

“Electric vehicles do not emit vehicle emissions and these are cleaner, do not cause noise pollution and eliminate your fuel costs. Besides, EVs are fun to drive and these have instant torque and offer a very smooth ride,” he explained while counting on the benefits of the electric vehicles.

The adviser Malik Amin Aslam noted that periodic trips to the gas station to fuel up your car are considerably expensive and time consuming for the people, particularly when the ever-fluctuating price of gasoline is high.

However, by choosing an electric vehicle, one can forget about paying for gasoline and being at the mercy of fuel prices.

“Not only is electricity less expensive than gasoline, it also has a much more stable price point, meaning that rapid price swings are all but eliminated by going electric,” he further explained.

Malik Amin Aslam stated that humans have historically had a very negative impact on our environment. “Carbon dioxide emissions from traditional vehicles contribute to greenhouse gases in the atmosphere and accelerate climate change and overall environmental degradation and hurt public health. Conversely, all-electric vehicles don’t produce climate change-causing carbon dioxide into the atmosphere, when any of us drives them.

Besides, hybrid electric vehicles use their battery to greatly improve the distance you can travel with a gasoline-powered engine,” he elaborated while highlighting environmental benefits of the electric vehicles.

Given the backdrop, switching to an electric vehicle is one way to reduce further damage to the earth, cut individual carbon and transport sector’s footprints, the prime minister’s adviser on climate change.

He said that with implementation of electric vehicle policy of Pakistan, a new economic sector will emerge, introducing a new electric vehicle producing industrial sector and thousands new jobs.

Talking about electric public transport system, he told media that as part of the policy goal, provincial governments are being approached to usher in launch mass transit system in urban areas, under which electric buses would be introduced to provide pollution, noise-free, comfortable and cheaper transport facilities to the masses, particularly women.

For this, federal government would provide every possible help to the provincial governments to introduce such mass transit system, Malik Amin Aslam added.

November 21, 2019
Hafeez Shaikh calls for early resolution of pending issues between PTCL, Etisalat

ISLAMABAD: Dr. Abdul Hafeez Shaikh, Adviser to the Prime Minister on Finance and Revenue on Thursday directed early resolution of pending issues between PTCL and Etisalat.

Dr. Abdul Hafeez Shaikh has called for an early resolution of all outstanding issues regarding the PTCL privatisation with Etisalat and asked the stakeholders to finalise proposals on the subject within the next couple of weeks.

He made this statement while chairing an Inter-Ministerial Committee constituted by the Prime Minister to discuss and resolve the issues related to the PTCL’s Privatisation.

Minister for Privatisation Muhammad Mian Soomro, Minister for Information Technology Khalid Maqbool Siddiqui, Secretary Finance, Secretary Privatisation, Secretary Information Technology and Telecommunication and other senior officials were also present.

During the meeting, the adviser was given a detailed briefing on the issues concerning the transfer of properties to Etisalat and the pending payments still to be made by Etisalat.

The adviser called for greater efforts to resolve the outstanding issues in a smooth and amicable manner and asked the government team to contact the senior management of Etisalat to listen to their viewpoint and decide the unresolved issues at the earliest as any further delay was not in the interest of both the parties.

November 21, 2019
Foreign exchange reserves decline by $40 million

KARACHI: Pakistan’s liquid foreign exchange reserves have declined by $40 million to $15.462 billion by week ended November 15, 2019 as compared with $15.502 billion a week ago, State Bank of Pakistan (SBP) said on Thursday.

The foreign exchange reserves held by SBP, however, increased by $45 million to $8.442 billion by week ended November 15, 2019 as compared with $8.397 billion a week ago.

The reserves held by commercial banks fell by $85 million to $7.020 billion as compared with $7.105 billion a week ago.

November 21, 2019
FBR transfers 11 senior IR officers of BS-20-21

ISLAMABAD: Federal Board of Revenue (FBR) on Thursday notified transfers and postings of 11 senior officers of Inland Revenue Service (IRS) in BS-20-21 with immediate effect and until further orders.

01. Dr. Ashfaq Ahmad Tunio (Inland Revenue Service/BS-21) has been transferred and posted as Member, Federal Board of Revenue (Hq), Islamabad from the post of Chief Commissioner, Regional Tax Office, Bahawalpur.

02. Syed Maroof Gilani (Inland Revenue Service/BS-21) has been transferred and posted as Chief Commissioner Inland Revenue Regional Tax Office, Bahawalpur from the post of Member, Federal Board of Revenue (Hq), Islamabad.

03. Qaiser Iqbal (Inland Revenue Service/BS-21) has been transferred and posted as Director General, Directorate General of Intelligence & Investigation (Inland Revenue), Islamabad from the post of Chief Commissioner, Regional Tax Office, Peshawar.

04. Syed Nadeem Hussain Rizvi (Inland Revenue Service/BS-21) has been transferred and posted as Member, (TPA) Federal Board of Revenue (Hq), Islamabad from the post of Chief Commissioner, Corporate Regional Tax Office, Lahore.

05. Asim Ahmad (Inland Revenue Service/BS-21) has been transferred and posted as Member, (IT) Federal Board of Revenue (Hq), Islamabad from the post of Director General, Directorate General of Intelligence & Investigation (Inland Revenue), Islamabad.

06. Sardar Ali Khawaja (Inland Revenue Service/BS-21) has been transferred and posted as Chief Commissioner Inland Revenue Regional Tax Office, Peshawar from the post of Chief Commissioner, Regional Tax Office, Sargodha.

7 Dr. Hamid Ateeq Sarwar (Inland Revenue Service/BS-21) is presently posted as Member, (Inland Revenue Policy Wing) Federal Board of Revenue (Hq), Islamabad, he is assigned the additional charge of the post of Member (FATE), Federal Board of Revenue (HQ), Islamabad in addition to his own duties, till the posting of a regular incumbent.

08. Ms. Amina Hassan (Inland Revenue Service/BS-21) has been transferred and posted as Chief Commissioner Inland Revenue Corporate Regional Tax Office, Lahore from the post of Director General, (Special Initiative) Federal Board of Revenue (Hq), Islamabad. The officer is also assigned the additional charge of the post of Director General (Special Initiative), FBR (HQ), Islamabad in addition to her duties, till the posting of a regular incumbent.

09. Abdul Hameed Memon (Inland Revenue Service/BS-21) has been transferred and posted as Director General, (Retail) Federal Board of Revenue (Hq), Islamabad from the post of Chief, (ST&FE) Federal Board of Revenue (Hq), Islamabad.

10. Muhammad Imtiaz (Inland Revenue Service/BS-20) has been transferred and posted as Chief Commissioner Inland Revenue (OPS) Regional Tax Office, Sargodha from the post of Chief Coordinator, Chief Coordinator Computer Wing (Income Tax), Islamabad.

11. Tariq Mustafa Khan (Inland Revenue Service/BS-20) has been transferred and posted as Chief Commissioner Inland Revenue (OPS) Regional Tax Office, Gujranwala from the post of Commissioner, Corporate Regional Tax Office, Karachi.

The FBR said that the officers who are drawing performance allowance prior to issuance of this notification shall continue to draw this allowance on the new place of posting.

November 21, 2019
Stock market plunges by 936 points as selling pressure continues

KARACHI: The stock market plunged by 936 points on Thursday as selling pressure continued in the market.

The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 37,101 points as against 38,038 points showing a decline of 936 points.

Analysts at Arif Habib Limited said that the reports of implementation of Axle Load policy as directed by Islamabad High Court broke the day, post market opening, which had a knee jerk reaction on Cement and Steel stocks.

Selling pressure kept building up with investors concerned about growing political wrangling.

Index heavy weights took the toll, causing index to plunge by more than 1000 points, which caused panic among investors especially after sustaining a blow of 527 points yesterday.

Cement sector led the volumes table with 42.7 million shares, followed by Technology (22.6 million) and Engineering (22 million).

Scrip wise activity showed KEL scoring 12.1 million shares, followed by PAEL (10.3 million) and TRG (9.5 million).

Sectors contributing to the performance include Banks (-208 points), Fertilizer (-114 points), E&P (-100 points), Power (-96 points) and Cement (-95 points).

Volumes declined from 327.7 million shares to 232.4 million shares (-29 percent DoD).

Average traded value also declined by 29 percent DoD to reach US$ 52.1 million as against US$ 73.5 million.

Stocks that contributed significantly to the volumes include KEL, PAEL, TRG, UNITY and BOP, which formed 21 percent of total volumes.

Stocks that contributed positively include NESTLE (+5 points), AICL (+3 points), HASCOL (+2 points), GATM (+1 points) and STJT (+0 points).

Stocks that contributed negatively include HUBC (-69 points), ENGRO (-59 points), LUCK (-53 points), PSO (-44 points), and PPL (-43 points).

November 21, 2019
Rupee gains three paisas against dollar

KARACHI: The Pak Rupee gained three paisas against dollar on Thursday owing to supply of the foreign currency in the market.

The rupee ended Rs155.34 to the dollar from previous day’s closing of Rs155.37 in interbank foreign exchange market.

Currency experts said that the rupee made gain due to some supply of the greenback in the shape of remittances.

The foreign currency market was initiated in the range of Rs155.34 and Rs155.36. The market recorded day high of Rs155.36 and low of Rs155.31 and closed at Rs155.34.

The exchange rate in open market witnessed stable rupee value. The buying and selling of dollar was recorded at Rs155.20/Rs155.40, the same previous day’s level, in cash ready market.

November 21, 2019
FBR appoints appraising, valuation officers

ISLAMABAD: Federal Board of Revenue (FBR) has appointed appraising and valuation officers (BS-16) in the Customs Department.

A notification issued on Thursday, the FBR said that consequent upon the recommendations of Federal Public Service Commission (FPSC), Islamabad vide letter No.F.4-180/2018-R-FS-I, dated 17.10.2019 and having accepted the terms and conditions of appointment contained in the offer of appointment letter No.2(9)/2015-Cus-III, dated 22.10.2019, the following candidates are hereby appointed as Appraising/ Valuation Officer (BS-16) in the Customs Department and their services are placed at the disposal of Customs field formations mentioned against each:-

01. Raafeh Nasar Chattha, Model Customs Collectorate (Appraisement) Lahore.

02. Haris Bukhtiar Khan, Model Customs Collectorate (Appraisement) Lahore.

03. Muhammad Ibrar Ibrahim, Model Customs Collectorate (Appraisement) Lahore.

The FBR said that their inter-se-seniority will be maintained in order of merit assigned by Federal Public Service Commission (FPSC) and in accordance with the Civil Servants (Seniority) Rules, 1993.

Other terms and conditions of their appointment will be the same as already conveyed vide FBR letter dated October 22, 2019.

3. They are advised to join the concerned Customs field formation immediately but not later than 06.12.2019.

November 21, 2019
SECP directs life insurers to provide details of window Takaful operations

ISLAMABAD: Securities and Exchange Commission (SECP) has directed life insurers to provide details of their Family Takaful operations.

The SECP issued Circular No. 15 dated November 18, 2019 and amended rules for financial reporting of family window Takaful operations by life insurers.

The regulator amended the rules and directed to insurance companies having window Takaful operations to:

— report its assets, liabilities, revenues and expenses separately for each segment of its conventional business and Takaful business;

— to comply with the provisions of these rules or such other conditions as may be imposed by the Commission from time to time.

The SECP under Takaful Rules 2012 also imposed following conditions on life insurers related to financial reporting of their window Takaful operations:

1. Life insurers authorized to carry on window takaful operations shall include the Family Takaful results in their published financial statements as follow:

a. The assets and liabilities of the window family takaful operations shall be consolidated with the assets and liabilities of the conventional operations in the statement of financial position of the life insurer.

b. The incomes and expenses of the window family takaful operations shall be consolidated with the incomes and expenses of the conventional operations in the profit and loss account of the life insurer.

c. Supporting notes where considered necessary for understanding of the users of financial statements shall be included as part of the notes to the financial statements; and

d. The segment disclosure for Family Takaful Operations in accordance with the requirements of IFRS 8- Operating Segments shall be included in the financial statements.

The SECP further directed that in the financial statements the retained earnings of the Participant Takaful Fund (PTF) shall be classified as insurance liability and included in the total liabilities of the Window Family Takaful Operations. Balance of the Operator Sub-Funds under the Window Family Takaful operations, shall be classified as part of shareholders’ equity of the life insurer presented separately into (i) retained earnings attributable to shareholders – ledger account D; and (ii) other components.

The regulator further directed that life insurers shall separately prepare financial statements for Family Takaful operations as if these are carried out by a standalone Takaful Operator and shall be annexed with the insurer’s annual/interim report (as applicable). Supporting notes where considered necessary for understanding of the users of separate financial statements shall be included as part of the notes to the separate financial statements.

“Accordingly, all life insurers undertaking Family Takaful business through window operations are directed to ensure that the financial statements for the periods commencing January 01, 2020 with the SECP under the provisions of applicable laws are in compliance with the conditions placed above.”

November 21, 2019
Non-ATL to pay 20 percent tax on property sale through auction

KARACHI: Properties sold through auction to attract 20 percent advance tax for persons not appearing on Active Taxpayers List (ATL).

According to Income Tax Ordinance, 2001 updated till June 30, 2019 the advance tax rate on sale of property through auction would be 10 percent for persons, who filed their income tax returns by due date or filed after paying penalty.

However, the tax rate has been prescribed at 20 percent for persons not appearing on the ATL.

A taxpayer will only qualify for the ATL when he files annual income tax returns by due date or filed after due date with paying penalty.

Through Finance Act, 2019 a new Tenth Schedule was introduced to Income Tax Ordinance, 2001 under which persons not appearing on ATL will pay 100 percent additional tax.

Section 236 A of the Ordinance explained the advance tax at the time of sale by auction:

Section 236A: Advance tax at the time of sale by auction

Sub-Section (1): Any person making sale by public auction or auction by a tender, of any property or goods (including property or goods confiscated or attached) either belonging to or not belonging to the Government, local Government, any authority, a company, a foreign association declared to be a company under sub-clause (vi) of clause (b) of sub-section (2) of section 80, or a foreign contractor or a consultant or a consortium or Collector of Customs or Commissioner of Inland Revenue or any other authority, shall collect advance tax, computed on the basis of sale price of such property and at the rate specified in Division VIII of Part IV of the First Schedule, from the person to whom such property or goods are being sold.

Sub-Section (2): The credit for the tax collected under sub-section (1) in that tax year shall, subject to the provisions of section 147, be given in computing the tax payable by the person purchasing such property in the relevant tax year or in the case of a taxpayer to whom section 98B or section 145 applies, the tax year, in which the “said date” as referred to in that section, falls or whichever is later.

Explanation.- For the purposes of this section, sale of any property includes the awarding of any lease to any person, including a lease of the right to collect tolls, fees or other levies, by whatever name called.

Sub-Section (3): Notwithstanding the provisions of sub-section (2), tax collected on a lease of the right to collect tolls shall be final tax.”

November 21, 2019