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'Changes in GST law, procedure in next budget'

SIALKOT: Central Board of Revenue (CBR) member Riaz Ahmad Malik has said that necessary changes in law and procedure of general sales tax will be introduced in the budget 2000.

Addressing a retailers' meeting held here in connection with extension of general sales tax, he said that the step is being taken to streamline and simplify the GST system without compromising the government's objective of documentation of economy through a VAT-type system.

The CBR member further said that the Chief Executive had stressed the need for adopting the GST to meet local needs on the basis of an open dialogue with existing and potential tax payers.

Malik asserted that the new system will be helpful in reducing the discretionary powers of the tax officials, corruption and harassment.

He told traders that his visit to Sialkot and meeting with their representatives was aimed at understanding their difficulties and apprehensions in order to resolve the same within the GST system.

To a question regarding the development tax, announced by the previous regime in mid-September 1999, Malik clarified that it was annulled by the Cabinet in December, 1999.

The enforcement by the tax officials for registration or enrolment by retailers will be held in abeyance till the completion of discussion with the representatives of retailers, and resolution of genuine difficulties, he added.

He said the meeting at Sialkot will be followed by similar meetings with the leading representatives of retailers invited by the provincial government at Multan, Faisalabad and Rawalpindi.

Later, the CBR member visited the Sialkot Chamber of Commerce and Industry (SCCI) and discussed various issues pertaining to the general sales tax. APP