ISLAMABAD: Commercial exporters are an important limb of the overall export body of Pakistan. Availability of Exports Proceeds Realization Certificate also known as Bank Credit Advice (BCA) is one of the important checks that are required for processing of sales tax refund claims of commercial exporters.
During a recent meeting of Dr. Muhammad Ashfaq Ahmed, Member (IR-Operations) with export bodies at Karachi, it was noted that in case of commercial exports, BCA is generally received in six months (one hundred and eighty days) and this time frame is also recognized by the State Bank of Pakistan.
The Refund Rules, however, require filing of refund claim within 4 months (one hundred and twenty days) for all types of exporters. This was a difficulty specific to commercial exporters. Realizing the business need, Board has amended the time frame for filing Annex-H for the commercial exporters vide notification SRO.1172(1)/2020 dated 04.11.2020.
It is believed that this step would encourage and facilitate them and help exporters to find new markets and expand Pakistan’s export base at a rapid pace.
Meanwhile, a Memorandum of Understanding (MoU) has been signed between the Directorate General of Training and Research (Inland Revenue), Lahore (DGTR-IR) and Leadership Development Center (LDC), Bahria University, Islamabad.
The MoU will provide avenues to both institutions for cooperation in areas of officers’ professional development in Accounting Finance & Management, existing Sectoral Expert Knowledge, establishment of Research and Financial Data Centers and formulation of prudent case studies.
The MoU will prove to be instrumental in FBR’s effort to transform itself into a research oriented, data backed, efficient tax collection agency.