KCCI for suspension of SRB taxes for 6 months, workers relief package
KARACHI: Karachi Chamber of Commerce and Industry (KCCI) has requested Sindh Chief Minister Syed Murad Ali Shah to direct Sindh Revenue Board to discontinue collection of all types of taxes including services tax for next six months.
The same has been done by Punjab Government by waiving off provincial taxes of Rs 18 billion in the wake of prevailing economic situation due to coronavirus, President Agha Shahab Ahmed Khan mentioned in a letter to the Chief Minister.
Agha Shahab said Karachi business community, already providing cash and food to the needy in the city on humanitarian ground, would try its best to sustain the entire burden of wages and salaries payable for this month but they would not be able to do so next month.
Hence, the provincial government would have to come up with a special relief package under which the entire salaries/ wages must be borne by it. If the government was not in a position to do so, a mechanism would have to be adopted for a period of at least three months.
Under this move, he proposed, the aggregate amount of salaries payable by each and every industry should be fragmented into three equal portions. First portion should be paid by the relevant industrialist and second portion be contributed by the government while the last portion would to be borne by the laborers themselves.
“This Special Relief Package is need of the hour which will certainly enable the private sector to deal with this uncalled for stress on their balance sheets, avoid lay-offs and rescue many industrial units from becoming sick or bankrupt”, he added.
The KCCI President said the business community fully supported all the initiatives taken by the Federal and Provincial governments to eradicate COVID-19 from the country. But, he continued, at the same time the business community was equally cognizant and too concerned about the hardships being faced by big number of poor workers especially the daily-wage earners and their families.
He was of the opinion that the ongoing lockdown has led to creating serious crises for thousands of industries due to income erosion and additional cost of doing business as they have to pay salaries and arrange food stuff and rations etc. for their idle workers and daily wage earners.
“In this regard, KCCI has been receiving several appeals from different sectors and industrialists as they find the emerging situation extremely difficult which poses threat to their survival and they may not be able to stay afloat for long because of the sluggish production and additional cost of paying salaries/ wages to their unproductive workforce”, he added. – APP