Pakistan

KARACHI: The Pakistan Chemicals & Dyes Association (PCDMA) has urged the Federal Board of Revenue (FBR) to ease the compliance burden on businesses, cut the General Sales Tax (GST) rate, and restore protections for importers in its pre-budget proposals submitted ahead of the federal budget 2026-27. PCDMA Chairman Salim Valimuhammad warned that mounting compliance requirements and aggressive audits are steadily driving taxpayers into the informal economy. “People generally want to pay taxes, but due to limited awareness and tech-savviness they make honest mistakes — and FBR takes advantage of that,” he said, stressing that officers should guide taxpayers instead of issuing harsh notices. “Taxpayers generally want to comply with tax laws, but complicated procedures and lack of guidance often result in genuine mistakes,” Mr. Valimuhammad said, adding that the FBR should adopt a facilitative and educational approach instead of relying on notices and enforcement measures. Among the association’s key recommendations is a reduction in the GST rate from 18 per cent to 16pc, followed by a gradual transition to single-digit taxation. Mr. Valimuhammad argued that lower tax rates would improve compliance, broaden the tax base and ultimately increase government revenues. The PCDMA chairman also called for the restoration of the Final Tax Regime (FTR) for commercial importers and the return of audit exemptions that were previously linked to the payment of additional sales tax. He said the withdrawal of these protections had increased uncertainty and compliance costs for importers. To ease liquidity constraints faced by traders and wholesalers, PCDMA proposed restoring Section 8B facilities for commercial importers. As an interim measure, he suggested allowing businesses to adjust up to 95pc of output tax against input tax, with only 5pc payable in cash. Highlighting concerns over fake invoicing, the PCDMA chief recommended reducing the further tax rate from 4pc to 1pc, arguing that a lower rate would encourage compliance and reduce incentives for fraudulent practices. On income tax, PCDMA proposed lowering withholding tax on local supplies of raw materials from the current rates of 5pc and 5.5pc to 2pc and 2.5pc respectively. He maintained that lower withholding taxes would encourage businesses to operate within the documented economy. The association also objected to what it described as unequal tax treatment between commercial and industrial importers under Section 148 of the Income Tax Ordinance. Mr. Valimuhammad said identical imports should be taxed uniformly, regardless of whether they are imported by traders or manufacturers. Among customs-related proposals, the PCDMA chairman called for the abolition of the Rs500 WeBOC token fee on goods declarations, arguing that importers were effectively paying duplicate charges after the introduction of the Pakistan Single Window (PSW) system. He further sought the restoration of NTN-based self-clearance facilities for commercial importers, saying the withdrawal of the facility had increased delays and administrative bottlenecks at customs offices. PCDMA also recommended discontinuing the Export Facilitation Scheme (EFS), claiming it was vulnerable to misuse and revenue leakage. Instead, he urged the government to strengthen and expedite the tax refund system to support genuine exporters. The proposals have been submitted to the FBR and are expected to be discussed during pre-budget consultations with trade and industry stakeholders ahead of the federal budget announcement.

LAHORE: Marking the 75th anniversary of diplomatic relations between Pakistan and the People’s Republic of China, the Parvez Hassan Centre for Chinese Legal Studies at the Shaikh Ahmad Hassan School of Law (SAHSOL), Lahore University of Management Sciences (LUMS), convened a high-profile commemorative gathering highlighting the enduring strength and evolving nature of Pakistan-China relations. The event brought together distinguished members of academia, the legal fraternity, business and industry leaders, policymakers, and representatives of the Chinese community in Pakistan. The gathering underscored the depth and resilience of the Pakistan-China partnership, which has grown over decades into a comprehensive relationship anchored in strategic cooperation, shared regional interests, and enduring people-to-people ties. At a time of significant global transition, the event emphasised the importance of sustained diplomatic engagement and the role of academic institutions in fostering informed dialogue, legal understanding, and cross-border collaboration. The occasion was graced by the Consul General of the People’s Republic of China in Lahore, His Excellency Sun Yan, whose presence reaffirmed the continued importance of Pakistan-China diplomatic relations and their expansion into academic, cultural, and institutional spheres. Reinforcing the spirit of bilateral cooperation, scholarships supported by the Consulate General of the People’s Republic of China in Lahore were awarded to students at the Law School in recognition of their academic excellence, Laiba Abid, Class of 2027, and Jalal Tarar, Class of 2027. The scholarships reflect a shared commitment to education, capacity-building, and the development of future legal scholars as part of long-term engagement between the two countries. Speaking on the occasion, Consul General His Excellency Sun Yan reflected on the evolving scope of Pakistan-China cooperation as CPEC enters its 2.0 upgraded phase, emphasising continued collaboration in economic growth, technological innovation, green development, regional connectivity, and academic exchanges as part of the next chapter of bilateral engagement between the two countries. Discussions at the gathering reflected the long-term trajectory of Pakistan-China relations, highlighting continued expansion of cooperation across multiple sectors, while also emphasising the role of academic institutions in supporting sustained dialogue and strengthening institutional linkages throughout the proceedings. Founder of the Centre, Mr. Parvez Hassan, emphasised the importance of institutional capacity-building in the future of Pakistan-China relations, observing that while infrastructure projects may create roads, ports, and economic corridors, it is ultimately institutions, scholarship, mutual understanding, and the ability of societies to learn from one another that sustain durable partnerships between nations. The event was attended by Mr. Shahid Hussain, Rector, LUMS; Dr. Tariq Mahmood Jadoon, Provost, LUMS; Dr. Sadaf Aziz, Dean, Shaikh Ahmad Hassan School of Law (SAHSOL), LUMS; Mr. Li Zhi Jian, Chief Operation Official at Speedaf; Mr. Tan Zidong, CEO of NORINCO International Cooperation Ltd.; Mr. Chen Qian Jiang, President of Chinese Business Council & CEO of Zhung Lan Trading Company Private Limited; Mr. Max Ma, Founder & CEO of UNI Services International Private Limited; Dr. Saeed Shafqat, Professor Emeritus & Founding Director, Centre for Public Policy and Governance (CPPG), Forman Christian College; Ambassador (Retd) Shahid Malik, Former High Commissioner of Pakistan to India & Canada; Mr. Rana Sajjad, Founder of Center for International Investment and Commercial Arbitration (CIICA); Mr. Salman Hanif Rajput, Partner at AHM & Co; Mr. Ali Eeman, Regional Head – China Coverage Central at HBL, among others. The gathering concluded by highlighting the importance of sustained academic engagement in strengthening Pakistan-China relations, with LUMS continuing to serve as a platform for dialogue, collaboration, and the exchange of ideas that support long-term institutional and cross-cultural linkages between the two countries.

Karachi, June 3, 2026: TriFit, a Saudi backed fitness brand, has expanded its footprint beyond Karachi with the launch of TriFit Plus in Islamabad. Read More: https://theboardroompk.com/pakistans-pine-nut-chilgoza-exports-to-china-nearly-double-in-two-years/ TriFit presently operates six clubs that offer fitness regimes in its world class facilities, and highly qualified trainers, and is planning to open 8 more facilities nationwide. The excellence and standards maintained at the outlets has positively contributed to preventive healthcare, fitness, and personal wellbeing, particularly among Pakistan’s urban population. The exciting launch event was attended by industry leaders, media personalities, fitness enthusiasts, social media influencers, students, and members of the business community. Prominent among the guests were former Judge of the Supreme Court of Pakistan, Justice (R) Athar Minallah; Senator Sarmad Ali, President of the All Pakistan Newspapers Society (APNS); renowned television actress Laila Zuberi; senior journalist and anchorperson Fahd Hussain; and President of the Rawalpindi Chamber of Commerce and Industry, Usman Shaukat. Other notable attendees included Maj. Gen. Najam-us-Saqib, Commodore Nasir Mehmood, TriFit Board Members Shafqat Khan and Zafarullah Khan representing Saudi investors, renowned businessmen Zia Ansari, Jamal Ansari, Amer Hashmi and Nadeem Ansari, as well as Zia-ul-Rasheed, Director General, President House. They were joined by a distinguished gathering of corporate executives, media professionals, and prominent personalities from various walks of life at the launch of TriFit Islamabad. The Islamabad facility – TriFit Plus – represents the brand’s maiden presence in the federal capital and reflects its commitment to making modern fitness and wellness services more accessible. Speaking at the occasion, Ahmar Azam, Founder & CEO of TriFit, said the expansion aligns with the company’s vision of building healthier communities and encouraging long-term wellness through structured fitness programs and modern facilities: “Mental wellbeing is one of the top challenges facing young people today. The pressures of a fast-paced, constantly evolving world can often take a toll on emotional and psychological health. Regular physical activity is not only one of the most effective ways to manage stress, but also a powerful tool for building resilience, confidence, and a positive mindset. I hope this initiative encourages more people to embrace fitness as a lifestyle choice and recognize the profound impact it can have on both mental and physical wellbeing.” TriFit Plus has been designed as a comprehensive fitness and premium wellness destination, offering modern training equipment, group exercise programs, recovery facilities, wellness services, and dedicated workout spaces for men and women.

Long-Pending Refunds Must Be Cleared, Proposed in Budget to Increase Input Tax Adjustment Under Sales Tax Section 8B from 90% to 95%, PVMA Chairman Karachi: Chairman of the Pakistan Vanaspati Manufacturers Association (PVMA), Sheikh Umer Rehan, has strongly urged the federal government and the Federal Board of Revenue (FBR) to immediately release billions of rupees in long-pending sales tax refunds owed to the ghee and edible oil industry. He warned that the continued delay in refund payments has created a severe financial and liquidity crisis for the sector, making it increasingly difficult for manufacturers to manage routine business operations and maintain imports of essential raw materials. Sheikh Umer Rehan stated that billions of rupees in refunds due to the ghee and oil industry under Section 8-B of the Sales Tax Act remain outstanding with the FBR. He said these payments have been pending for an extended period, and the government’s failure to release the funds is placing significant pressure on manufacturers. He emphasized that the refunds represent the industry’s own money, already deposited with the government in the form of taxes. Therefore, he said, the government should ensure their immediate disbursement to support industrial activity and keep the economic wheel moving. Referring to the upcoming federal budget, the PVMA chairman proposed increasing the input tax adjustment limit under Section 8B of the Sales Tax Act from 90 to 95 percent. He called on the government and the Ministry of Finance to formally incorporate the proposal into the budget and ensure its prompt implementation to support the industry’s sustainability and improve the ease of doing business. Sheikh Umer Rehan further noted that the ghee and edible oil industry plays a crucial role in Pakistan’s food security and employment generation. He cautioned that failure to address the industry’s concerns, including the immediate release of refunds and relaxation of tax regulations, would increase production costs, which would not be in the interest of either the economy or the industry. He expressed hope that the Prime Minister and the Finance Minister would take immediate notice of the issue and direct the FBR to expedite the payment of all outstanding refunds.