PESHAWAR: The Khyber Pakhtunkhwa government has decided to halve two per cent cess on exports, said adviser to the chief minister on finance Muzammil Aslam on Friday.

He told members of the Sarhad Chamber of Commerce and Industry at the Chamber House here that a summary had been prepared for export cess reduction in light of the recommendations of the Sarhad Chamber of Commerce and Industry.

“This [export cess] summary will be presented in the next meeting of the provincial cabinet for approval,” he said.

Mr Aslam insisted that the export cess would be utilised to promote economic activity and infrastructure development in the province.

He promised the removal of all hurdles to the provision of soft loans to businesspersons through the Bank of Khyber.

CM aide promises removal of hurdles to soft loans for businesspersons

The aide to the chief minister also said that the issues regarding Khyber Pakhtunkhwa Revenue Authority and inter-provincial coordination matters would be resolved on priority.

He assured the business community of raising its issues with federal authorities at various forums.

Mr Aslam said that the provincial government would implement policies in consultation with the chamber and business community.

He urged the business community to help achieve the revenue and growth targets in the province.

The meeting was attended by SCCI senior vice president Abdul Jalil Jan, former presidents Haji Mohammad Afzal and Faiz Mohammad Faizi, executive committee members Ziaul Haq Sarhadi, Aftab Iqbal, Nadeem Rauf and Mohammad Ashfaq, and Industrialist Association Peshawar president Ayub Khan Zakori, industrialists Khalid Sultan Khawaja, Mazharul Haq, Atif Rasheed Khawaja, Affaf Ali Khan, Zarak Khan, Imtiaz Ali Ahmad, Zafar Khattak, Asif Khan, Fazal Adnan and Quratul Ain, and traders associated with gemstone and carpet business, Pak-Afghan trade, exporters and importers.

Mr Moqeem apprised Mr Aslam of the business community’s concerns about the imposition of two per cent provincial cess on exports and property tax on warehouses, shops and offices by the excise and taxation department, making of withholding agents by the KPRA, non-implementation of the provincial Industrial Policy 2020, issues related to inter-provincial coordination, and suspension of PIA’s Peshawar-Karachi flights.

The SCCI chief said that the export process had adversely affected after the imposition of two per cent provincial cess on exports.

He feared that if that cess wasn’t abolished, exports from KP would stop.

Mr Moqeem complained that the collection of property tax by the excise and taxation department was double taxation. He demanded immediate withdrawal of “all unnecessary and irrational” taxes.

He also expressed concern about the collection of professional tax from the business community in the province.

The SCCI president complained about unavailability of gas and electricity to business and industry saying it a violation of Article 158 of the Constitution as KP produces gas and electricity more than its needs.

He demanded implementation of the provincial Industrial Policy 2020 in letter and spirit.

Mr Moqeem called for the SCCI’s representation in the dispute resolution councils of the labour department, KPRA, Khyber Pakhtunkhwa Employees Social Security Institution, Khyber Pakhtunkhwa Economic Zones Development And Management Company, food department and other authorities, and said consultation should be made with the SCCI and business community regarding interprovincial coordination issues.

Published in Dawn, November 30th, 2024