20000115

KCCI seeks Shaukat's help against GST notices

RECORDER REPORT

KARACHI: Karachi Chamber of Commerce and Industry (KCCI) President Amjad Rafi has urged Finance Minister Shaukat Aziz to instruct the Sales Tax Department to refrain from issuing notices to retailers for not filing returns and rescind the notices already issued, till a final decision in this regard.

In a letter to the finance minister, Amjad Rafi said that this action of the Sales Tax Department was in violation of the assurances given by the finance minister of initiating no action, unless the issue of GST at retail stage was finally decided and amicably resolved, in consultation with victims.

The letter further said: "I have the honour to draw your kind attention to the notices that are being issued by the Sales Tax Department to the retailers for not filing returns, in complete violation of the assurances given by your goodself for resolving GST issue at retail stage amicably through consultation".

It was against this perspective that CBR Chief Coordinator Riaz Malik held meetings with different groups, especially with shopkeepers, to understand the problem and to evolve some mutually accepted formula. This implies the government's clear intention that no action would be taken in this regard by the Sales Tax Department till the matter is resolved.

The chamber had received complaints that not only notices were being issued, but the shops were also being visited by the officials to pursue the matter. The chamber was itself striving hard to get this issue settled to the satisfaction of the government and the retailers, but you would appreciate that issuance of such kind of notices for not filing return, etc., prior to the finalisation of negotiation and decision, would prove counter productive, Amjad Rafi concluded.