ISLAMABAD: The Economic Coordination Committee (ECC) on Wednesday approveda technical supplementary grant of Rs30 billion for the FBR RefundSettlement Company Limited in order to ensure payment of sales tax refundsto exporters.
The proposal of technical grant for the proposed company was forwarded bythe Federal Board of Revenue.
Meanwhile, the ECC, which was headed by Adviser to Prime Minister onFinance Dr Abdul Hafeez Shaikh, also approved the renaming of ‘Zero-Ratedsector’ as ‘Export-Oriented Sectors’.
According to the Ministry of Commerce, since the removal of the zero-ratedregime through an SRO in June 2019, the continuation of subsidizedgas/electricity to the identified sectors has become an issue.
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For continuation of the facility, it has been renamed as ‘Export-OrientedSectors’. The erstwhile zero-rated sectors, namely textile (includingjute), carpets, leather, sports and surgical goods would be now included inExport-Oriented Sectors.
The ECC meeting approved amendments in 18 laws and 25 legal procedures tosimplify and facilitate investments in oil exploration and production. Theamendments in the laws were proposed by the Energy Task Force and otherstakeholders.
