The Standing Committee on Finance to review tomorrow “The Benami Transaction (Prohibition) Act, 2016”

Lahore: 34^th meeting of the Standing Committee on Finance, Revenue, Economic Affairs, Statistics and Privatization of the National Assembly was held today, the 14^th June, 2016, at 01:45 p.m, in Committee Room No. 2, Parliament House, Islamabad, under the Chairmanship of Qaiser Ahmad Sheikh, MNA, on the following agenda:-

i).       “The Benami Transaction (Prohibition) Act, 2016”.

ii).      “The Companies (Appointment of Legal Advisors) (Amendment) Bill, 2016”.

iii).     To discuss the implementation status of the recommendations made by the Standing Committee in its meeting held on 9^th June, 2016.

 

2. The Committee unanimously decided to convene the next meeting of the Committee by tomorrow i.e 15^th June, 2016 on the same agenda for further discussion with the Federal Minister for Finance & Revenue.
3. The Committee unanimously recommended that import of Fertilizer (Urea) should be opened for private sector, immediately to relief the farmers. It was also recommended that subsidy on DAP (Fertilizer) should be maintained @ Rs. 500 instead of Rs. 250.

 

4. While considering the matter pertaining to Textile Industry for zero rating. Member (IR-Policy), FBR stated that a Committee has been constituted by the Federal Board of Revenue (FBR) to resolve anomaly of businessman. Therefore, it was recommended to the Textile Industry representatives for submission of their presentation in Anomaly Committee of the FBR for addressing the grievances.

 

5. While considering the matter with regard to fixation of income tax on commercial and industrial importers. A representative from Karachi Chamber of Commerce  & Industry requested that a level playing field should be provided to both commercial importers & industrial importers and there must be reasonable differential of income tax between them, presently 6 % fix withholding tax is imposed on commercial importers and industrial importers are subject to normal taxation with minimum 1 % on turnover.  Some industries misuse this facility. In this budget auditing of industries is suggested, which will not resolve the matter, rather it will create cumbersome problems and delays.

 

6. The Committee strongly recommended that this differential in income tax may be reduced to 4% income tax as final tax on import of raw materials by the commercial importers and 2 % adjustable income tax on import of raw material by the industry.

 

7. The Committee recommended that 10.5 % excise duty should be maintained on Carbonated Soft Drinks (CSD).

 

 

 

8. The Committee was informed by the Honorable Members that the officers/officials from various Ministries have requested that Assembly Business is being conducted by the relevant sections beyond office hours without any additional financial benefit and compensation. They demanded that some financial benefits at par with officers of the National Assembly/Senate may be given to the officers/officials working in Minister’s Office, Focal Person i.e Joint Secretary (Admin) of the Ministry and Section Officers (Council).

 

9. The Honorable Members further informed the Committee that said proposal has already been recommended by the four Federal Ministers that 100% of the running Basic Pay may be granted to the officers and staff of the above concerned Sections & Offices in order to enhance the performance of the Parliamentary Business. The Committee recommended to Ministry of Finance & Revenue to consider the matter.
10. The Committee considered the Karachi Timber Merchants Group regarding abolishment of exorbitant customs duty imposed on medium density fiberboard (MDF 44.11) and decided that Khyber Pakhtunkhwa Chamber of Commerce & Industry would be taken on board, later.

 

11. Mr. Daniyal Aziz, MNA/Member of the Committee informed the Committee that import duty on automobiles may be discussed. The Committee adopted the suggestion for further consideration in the next meeting.

 

12. Meeting was attended by Mr. Saeed Ahmed Khan Manais, Rana Shamim Ahmed Khan, Mr. Muhammad Pervaiz Malik, Sheikh Fayyaz-ud-Din, Mian Abdul Mannan, Ms. Shaza Fatima Khawaja, Ms. Leila Khan, Dr. Nafisa Shah, Mr. Jehangir Khan Tareen, Mr. Asad Umar, MNAs and besides senior officers from Ministry of Finance, Revenue, Economic Affairs, Statistics & Privatization.