960421

CAP voices

concern over

unequal working

conditions

RECORDER REPORT

LAHORE: Contractors Association of Pakistan (CAP) expressed their concern over the unequal working conditions for local contractors vis-a-vis foreigners.

At a press conference Contractors Association of Pakistan (CAP) President Mohammad Yousaf Sheikh said that manufacturing and agriculture sectors have been blessed with various incentives and relieves but the construction business, which consumes almost 50 percent of the development budget and ranks second to agriculture and manufacturing and pays highest tax per million turnover is the most neglected and sick sector in the country.

He said construction business be accorded an industry status and be provided with all benefits provided to other industries.

He said that government in the last budget raised the income tax from 3 percent to 5 percent. "It is an admitted position that the estimates prepared by government departments and agencies for contracted works include no more than 10 percent of gross payments by way of profit margin for the contractors and from this 10 percent have to meet expenditures on overheads, interests, borrowings, capital cost of machinery and equipments etc", he said.