Oil Industry Rejects Budgetary Measures, Calls for Continuation of Existing Tax Regime.

The oil industry in Pakistan has expressed strong opposition to the proposed federal budget for 2024-25. The Oil Companies Advisory Council (OCAC) has called for the continuation of the current taxation regime, including customs duties on diesel and sales tax laws on petroleum products. The OCAC argues that the budgetary measures contradict the government's policies for establishing new refineries and upgrading existing ones, and could lead to the closure of refineries. They also raise concerns about proposed changes in the finance bill that would impose withholding tax liabilities and create cash flow issues for companies. The OCAC is urging the government to reconsider these proposals to ensure the continued operation of the oil industry. [Extracted from the article]