ISLAMABAD (June 05 2003) : While making comprehensive amendments in the sales tax refund procedure, through budget 2003-04, the government has decided to reduce the time period for payment of refunds.
The reduction in time period would benefit the business community, particularly commercial exporters and manufactures-cum-exporters.
The modified procedure would help in speedy payment to the exporters, resolving the liquidity problems faced by exporter community to a great extent.
The exporters having 'excellent' record would be given priority under the fast track 'green channel refund system'.
At present, all collectorates of sales tax, including Chief, Textile, are finalising the names of registered exporters for extension of 'fast track green channel' facility for early sales tax refund payment.
Sources said that the CBR is formulating a new 'sales tax refund verification system', empowering exporters' associations to verify refund claims instead of the sales tax collectors.
It would address all refund-related issues, including liquidity problem, delay in refund payments and, above all, verification of claims.
Under the new system, exporters with good credibility would no more be required to file the refund documents, as data could be submitted through computer floppy.
The CBR has asked all exporters' associations to establish their service centres in major cities.
In this regard, necessary computer software would be provided to these service centres for verification purposes.
The exporters would not be required to go to the collectorates, as these service centres would be empowered to receive the refund claims.
These service centres would verify the refund claims filed by exporters and the collectorates would not play any role in the verification process.