Designer outlets reopen after PRA crackdown

Monday, September 7th, 2015 6:05:35 by

LAHORE: A host of designer outlets that were closed in Lahore, following a raid by the Punjab Revenue Authority (PRA) last week, have opened after the initial shutdown.

Umair Tabani of Sania Maskatiya revealed that their shop is now open for business. “We’re paying taxes on goods for all the cities we have outlets in,” Tabani told The Express Tribune. “The Government of Punjab has classified our ‘goods’ sales as service sales. We’re in the process of coming to a common ground with the PRA, where both parties are satisfied and our shop remains open.”

The outlet of Muse, another well-known brand from Lahore, remained closed till the filing of this report on Monday, but its owner is optimistic that the shop will reopen soon.“We took this matter to court and the verdict was in our favour. I took this route because we’re already registered with the FBR and pay taxes for the goods we offer, as opposed to services,” Mooed Yusuf of Muse shared.

Read: Fashion design outlets sealed for non-payment of taxes

Shirin Hassan’s outlet is still closed and she remains adamant that the PRA is asking for something  she deems ‘unreasonable’. “They’re asking for something very unreasonable and we’re not willing to give in to it. We don’t provide a service to any other company and would rather have the shop sealed for a few days than give in to something unjust,” said Hasan, whose legal team is looking into the matter on her behalf.

Stores of Zara Shahjahan, Ammar Belal and Nida Azwer have also reopened. The Pakistan Fashion Design Council was expected to release a joint statement on behalf of the designers later on Monday.

PFDC says shops sealed unethically

The PFDC, a united body for fashion retailers across Pakistan, said on Monday that they had been in discussions with the PRA to resolve the matter when their stores in Lahore were unethically sealed.

The Pakistan Fashion Design Council said that it had started the dialogues with the Punjab Revenue Authority (PRA) well before the sealing of the designer shops.

The council also said in a statement shared with The Express Tribune that it has been working in collaboration with a number of fashion retailers, designers with a team of seasoned tax lawyers and chartered accountants to formally address the issues relating to the tax.

Published in The Express Tribune, September 8th,  2015.

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The post Designer outlets reopen after PRA crackdown appeared first on The Express Tribune.

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