Hafeez Shaikh directs to issue sales tax refund bonds to claimants

ISLAMABAD: In order to facilitate business community and export, Adviser to the Prime Minister on Finance, Revenue and Economic Affairs Dr. Abdul Hafeez Shaikh here on Friday directed to issue sales tax refund bonds to the claimants through Central Depository Company (CDC).

Speaking at a ceremony held at Ministry of Finance in Islamabad, Hafeez Shaikh said that the bonds amounting to Rs.7 bn were being issued in the first tranche and this issuance shall benefit 90 claimants.

He said that Federal Board of Revenue(FBR) was planning another issuance next month. The advisor asked the claimants to exercise their option for issuance of bonds and provide their CDC accounts to FBR so that they can be accommodated in the next issuance.

The government decided to issue sales tax refund bonds to the claimants so as to resolve the problems of long outstanding refunds.

Earlier on March 4, the Federal Board of Revenue (FBR) had issued an advice to the State Bank of Pakistan (SBP) for making payment of sales tax refunds amounting to Rs. 7,236 million to facilitate the exports.

The payment would benefit 898 claimants involved in exports of textile, carpets, leather, sports goods, surgical instruments, rice, food items, machinery and other items, said FBR statement. The refund had been paid against 2,637 refund payment orders issued up 30 th January, 2019, it had added.