KARACHI: Pakistan Yarn Merchants Association (PYMA) has sought clarification from Federal Board of Revenue (FBR) over calculation of turnover income tax.
PYMA Chairman Muhammad Saqib Goodluck in a statement on Thursday strongly criticized the issuance of botices to cotton yarn trades and act of harassment by the tax authorities. He demanded the FBR of issuing clarification on SRO 333(I)/2011.
He appealed the FBR chairman that in SRO the SRO had clearly mentioned 0.1 percent turnover tax from yarn traders but the offices of Inland Revenue was demanding turnover tax at 1 percent.
In order to recover the amount at one percent the tax offices have issued notices to more than 60 percent traders.
He said that when 0.1 percent annual turnover tax was clearly mentioned in the notification than there was no reason of harassing traders by the FBR offices.
He further demanded that FBR should clarify the SRO to end the harassment.
Chairman, PYMA (Sindh & Baluchistan Zone) while making reference over meeting of PYMA’s delegation with Dr. Ateeq Sarwar, member Inland Revenue Policy – FBR said that member IR policy – FBR had admitted that demanding 1 percent turnover tax was unjustified.
The member also assured that a clarification would be incorporated through upcoming federal budget.
Saqib Goodluck demanded the FBR that till the issuance of clarification the notices should be withdrawn.