Home / Knowledge / News / Textiles / Refunds & rebates outstrip taxes paid by textile sector
Refunds & rebates outstrip taxes paid by textile sector
03
Jul '09
The Federal Board of Revenue (FBR) has come out with a scathing indictment of the textile sector, which states, that the sector which generates nearly 60 percent of all export revenues, is a recipient of a big amount of refunds from the government.

The 'Third Quarterly Review done by the FBR contains a report on the tax contribution from the textile sector and states that the FBR is paying huge amounts of refunds and rebates, including a provision of zero-rating on sales tax.

But this they aver has not provided the desired results. The reports adds that tax collection from the sector is in negative territory, since the receipts are less than the refunds and rebates that the sector enjoys, due to its exalted status.

Providing statistics, the report reveals that, the extent of negative collection was Rs 25.9 billion in 2004-05, which to Rs 1.1 billion in 2007-08. However, provisional figures up to March 2008-09 point out that the negative collection has again jumped to Rs 5.5 billion.

The net revenue loss will be much higher if the refunds claimed under the head of income tax are included and FBR has suggested setting up a committee which would include stake holders and government officials to resolve issues of non-compliance.

Fibre2fashion News Desk - India


Must ReadView All

Courtesy: Asmara Group

Apparel/Garments | On 20th Sep 2018

Fragmented nature of Indian apparel sector major challenge

A major challenge for the Indian apparel sector is its fragmented...

Courtesy: Aditya Birla Retail

Apparel/Garments | On 20th Sep 2018

Indian Aditya Birla Retail to be acquired by Samara-Amazon

India’s Aditya Birla Group has signed a deal to sell Aditya Birla...

India's 2018-19 forward cotton export contract up by 100%

Textiles | On 20th Sep 2018

India's 2018-19 forward cotton export contract up by 100%

Rise in demand from China, lower domestic prices and depreciation of...

Interviews View All

Representatives, Textile & apparel industry

Representatives
Textile & apparel industry

GST is a complicated and lengthy process

Rahul Bhadani, Looksgud

Rahul Bhadani
Looksgud

Navigating through catalogues is a bit hasslesome

Akash Khetan, Narayan Tex Fab

Akash Khetan
Narayan Tex Fab

I find it hard to find professionals in Surat

Shivani Swamy,

Shivani Swamy

The Livinguard Technology is owned by Green Impact Holding AG based in...

Ravi Raj Desai,

Ravi Raj Desai

Himalaya Cotton Yarn Ltd manufactures high quality denier. The spinning...

Rajat Jaipuria,

Rajat Jaipuria

Activewear brand Soul Space promotes organic cotton farming and...

Pierre Wiertz, EDANA

Pierre Wiertz
EDANA

EDANA, the international association serving the nonwovens and related...

Isabel Herranz, European School of Business & innovation

Isabel Herranz
European School of Business & innovation

Cutting-edge ideas like the Internet of Things and artificial intelligence ...

Giulio Cesareo, Directa Plus SpA

Giulio Cesareo
Directa Plus SpA

Established in 2005, Direct Plus SpA, is one of the largest producers and...

Madhu Jain, Madhu Jain

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Anisha Chaudhari, Threads & Shirts

Anisha Chaudhari
Threads & Shirts

Threads & Shirts is a freshly-tailored concept providing men/women a...

Pranav Mishra, Huemn

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


September 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search