The Customs clearing agents have demanded withdrawal of Punjab Infrastructure Development Cess on consignments imported through the Customs Collectorate in the province of Punjab. They said the Punjab Infrastructure Development Cess imposition has left the clearing agents in the lurch as the importers have started clearing their consignments at the Karachi port.

It may be noted that the Punjab government has already faced the music by imposing luxury tax on vehicles and big houses. The Punjab government is in the process of withdrawing it once and for all because the taxpayers had started applying for registration of their vehicles in other provinces. The Customs clearing agents said they are also facing a similar situation, as the importers are not ready to pay 0.9 percent on their imports.

They said the government had adopted the measure to enhance revenue of the province but the situation on ground suggests that it is becoming difficult for the Customs Collectorate at the Lahore dry port to meet earlier years' revenue target.

Copyright Business Recorder, 2017