February 20, 2003	Thursday	Zul Hijjah 18, 1423

KARACHI, Feb 19: Member Central Excise, Central Board of Revenue (CBR), Naseer Ahmed has said that the government is considering to exempt central excise duty on cement, wire and cable industry.

In a meeting with members of the Karachi Chamber of Commerce and Industry (KCCI), he said that the CBR is now trying to create a conducive environment for these industries. However, he said that excise duty is a consumer tax and the government collects a sizable amount from cement, wire and cable and cigarette in shape of excise duty.

He said the government is now making efforts to make the excise duty procedure more simplified and transparent. He said that the government is providing adjustment where double duty has been collected.

He did not agree with the KCCI president’s contention that excise duty and sales tax were being charged in items like soap, paints, detergents, cosmetics etc.

Naseer said that the government is considering a proposal to enhance capital investment tax exemption limit of cottage industry in next budget.

He said all imported consignments, which reach the ports, will now carry retail prices from April 1, 2003 on which central excise duty is leviable at import stage. Those items, which do not carry retail prices, will be kept in bonded warehouses so that retail prices could be printed. He said the decision in this regard had been taken in the trade policy, announced in July, but it could not be implemented.

President KCCI, Shaukat Iqbal said that getting retail price printed on imported items is a difficult procedure and urged the government to withdraw the SRO issued in this regard.