Sales Tax Levy, Pakistan Textile Factory Continue To Suspend Operation

After 17% to 20% of the federal budget sales tax, the operation of Pakistan textile processing plant is still suspended for second days, because their customers do not place orders at a higher price. The Pakistan textile processing factory Association (APTPMA) held a meeting at SITE office on Tuesday, and decided to convene all stakeholders' joint meetings to discuss sales tax registration and payment.

The federal government imposed a 17% sales tax on processing plants and imposed a 20% sales tax on non filtration customers of processing plants. With the Levy of sales tax, the cost of processing plants has increased by about 40%. APTPMA regional chairman Arif Lakhani said that all processing plants in the country were still closed on Tuesday because customers were unwilling to pay 17% of sales tax on processing cloth. "We have asked all factories to send a formal" shut down "letter to the Federal Taxation Bureau (FBR), KE, SSGC and other agencies for their records. In addition, we have decided today (Wednesday) to invite wholesalers and customers in the processing industry to persuade them to register and pay sales tax at the Association offices, he added.