KARACHI: The Federal Board of Revenue's move to conduct scrutiny of 855 companies for audit purpose has rung alarm bells among the business community, which has called for a meeting with the FBR chairman to discuss matters pertaining to revenue collection.

"Such an act amounts to harassment of the business community, harming the business of the country," said Federation of Pakistan Chambers of Commerce and Industry President Sultan Ahmed Chawla at the Federation House on Saturday. FPCCI Vice President Zakariya Usman said a business-friendly environment was necessary to achieve the export target and demanded removal of excise duty on business and establishment of testing labs for traders.

FPCCI Vice President Mansha Churra recommended upgrading of CARE (Customs Administrative Reforms) programme and reactivation of ADR (Alternative Dispute Resolution) committee. He said due to sluggishness in the CARE system importers were facing demurrage which was adding to the cost of goods.

SAARC Chamber of Commerce and Industry President Tariq Sayeed said the Federation had record of all the businesses in Pakistan and if the FBR made policies in consultation with the FPCCI it would be able to introduce new measures for broadening the tax net. Federal Textile Adviser Dr Mirza Ikhtiar Baig said the FBR should swiftly issue notices in order to make good incentives of the Textile Policy 2009-14 a success. Indo-Pak Chamber of Commerce and Industry President S M Muneer said there were a lot of complications in SROs, and the problems related to notifications issued in the federal budget needed to be resolved.

FBR Chairman Sohail Ahmed, after listing to the problems and issues of the business community, said the retailers would be brought under the Large Taxpayers Unit (LTU) to meet the revenue target of Rs1,380 billion this year. "A 16-point criterion has been introduced to unearth under-invoicing and malpractices," he said, adding the FPCCI would be taken into confidence for verification to provide rebate to the businesses. He assured the businessmen that there would be no harassment in the audit procedure and Value Added Tax (VAT) would be introduced after consulting all the stakeholders.