Assembly Business

List of Business

PROVINCIAL ASSEMBLY OF SINDH

ORDERS OF THE DAY

FRIDAY, THE 20^TH FEBRUARY, 2015

Business to be brought forward before the Legislature on Friday, the 20^th February, 2015 at 10.00 a.m.

I.       (A)     RECITATION FROM THE HOLY QUR’AN.

(B)     NAAT SHAREEF.

II.      QUESTIONS AND ANSWERS:

            (Labour and Sindh Revenue Board Departments)

III.      CALL ATTENTION NOTICES:

1.    CALL ATTENTION NOTICE NO. 134 OF 2015;GIVEN NOTICE OF BY MR. KAMRAN AKHTAR, MPA: The Honourable Senior Minister for Education & Literacy, Sindh may please to give answer / statement that personally, I visited various Schools in Karachi which exist at Baldia Town, Keamari, Landhi, Korangi, Gulshan-e-Iqbal and Malir run by the KMC are deprived from basic necessities and security; steps taken by the Government in this regard?

2.    CALL ATTENTION NOTICE NO. 136 OF 2015;GIVEN NOTICE OF BY MR. NAND KUMAR, MPA: The Honourable Minister for Local Government, Sindh may please to give answer / statement that:

a)    Whether it is a fact that Detha Toll Plaza near Tando Jam is collecting Tax above the rate which has been fixed by the Government;

b)    Whether it is a fact that Local inhabitants of Tando Jam are exempted but Contractor is collecting Toll Tax forcefully; If yes, the action taken by the Government?

IV.     LEAVE APPLICATION OF MEMBERS, IF ANY.

V.       PRIVILEGE MOTION, IF ANY.

VI.     ADJOURNMENT MOTION NO. 08 OF 2014;GIVEN NOTICE OF BY MS. NUSRAT BANO SEHER ABBASI, MPA REGARDING THREE LAC SACKS OF WHEAT ARE STORED UNDER OPEN SKY OUTSIDE THE BOLHARI, WHEAT GODOWNS AT KOTRI.

VII.    INTRODUCTION OF THE GOVERNMENT BILL NO. 01 OF 2015-THE SINDH BOARD OF TECHNICAL EDUCATION (AMENDMENT) BILL, 2015.

VIII.  CONSIDERATION OF THE GOVERNMENT BILL NO. 05 OF 2015-THE SINDH LOCAL GOVERNMENT (AMENDMENT) BILL, 2015.

IX.     PRESENTATION AND CONSIDERATION OF THE REPORT OF STANDING COMMITTEE ON LAW & PARLIAMENTARY AFFAIRS AND HUMAN RIGHTS ON GOVERNMENT BILL NO. 13 OF 2014-THE SINDH CONSUMER PROTECTION BILL, 2014 AND THE PRIVATE BILL NO. 10 OF 2013- THE SINDH CONSUMER PROTECTION BILL, 2013;GIVEN NOTICE OF BY MS. SHARMILA SAHEBAH FARUQUI, MPA.

X.       ANY OTHER BUSINESS WITH THE PERMISSION OF THE CHAIR.

KARACHI, THE                                                                     G.M.UMAR FAROOQ

19^TH FEBRUARY, 2015.                                                              SECRETARY

PROVINCIAL ASSEMBLY OF SINDH

Summary of Proceedings

“This Assembly is of the opinion that Government of Sindh approach the Federal Government for extension of Sui Gas for Thul City which was approved by Shaheed Mohtarma Benazir Bhutto in 1996 at that time City was less populated and now the Town Committee upgraded as Municipal Committee. So, Population of Municipal Committee be provided Sui Gas.”

PROVINCIAL ASSEMBLY OF SINDH

LABOUR AND SINDH REVENUE BOARD DEPARTMENTS

LIST OF STARRED ASSEMBLY QUESTIONS AND ANSWERS FOR

FRIDAY THE 20^TH FEBRUARY, 2015.

*39. MR. MUHAMMAD MOIN AAMIR PIRZADA: Will the Minister for Sindh Revenue Board be pleased to state:-

Number of the sector/department from where sales tax on service is being collected alongwith district wise amount collected under the head of sales tax on service during    2011-2012 and 2012-2013?

 ANSWER

SYED QAIM ALI SHAH JILLANI, (Chief Minister) Minister for Sindh Revenue Board:

The total number of services subjected to Sindh sales tax is 21 for both the financial years 2011-12 and 2012-13 (Annexure-I, placed on the table of the House) and Sindh Revenue Board by exceeding the targets for both the financial years collected Rs.25.006 billion & Rs.33.655 billion during both the financial years against the set targets of Rs.25 billion & Rs.32 billion respectively.

There are multiple types of taxpayers making payment of Sindh Sales Tax on Services to SRB. Firstly there are taxpayers who are based in Sindh and rendering taxable services, exclusively in Sindh, and Secondly, there are taxpayers who are based outside Sindh but rendering services in Sindh such as telecommunication services. Thirdly, there are taxpayers who receive the taxable services from SRB registered service providers while being non-resident of Sindh and receiving services outside the Sindh make the payments to SRB.

With regards to payment of tax by these taxpayers, there is only one head of account of Sindh Sales Tax on Services and treasuries located in Karachi, Hyderabad, Sukkur, Larkana, etc, where payment is made. A registered person rendering taxable services in more than one district or even throughout Sindh make payment of the whole tax in the Treasury in the jurisdiction of which it is located, thus, a banking or of TV channel making payment of tax in one particular district does not mean that all services by it were rendered or entire business activity took place in that particular district.

Furthermore, person rendering taxable Services in Sindh but based outside Sindh make payment in the SRB head of account in districts outside Sindh.

The service providers are required to deposit the amounts of SST in any of the 55 authorized branches of NBP spread all over the country (Annexure-II, placed on the table of the House). The withholding agents, whether resident in Sindh or outside Sindh, also deposit the SST (withheld by them) in any one of the 55 branches of NBP as per their convenience. Certain service providers having their head office outside Sindh but providing services in Sindh (e.g. Mobilink, PTCL, Warid, Zong, MCB Bank. Bank of Punjab, Bank of Khyber etc, etc) also deposit's SST in any of the said authorized branches as per their convenience.

It is not a requirement that the tax must be deposited at the place where the service is provided. The service provider can deposit amounts of SST in any of the said 55 branches of NBP at his convenience. However, where a service provider has its branches in various cities/towns in Sindh but has its registered/head office in Karachi (e.g. Pizza Hut, McDonalds, KFC, Sindh Bank, NBP, etc) it can deposit the amounts of SST involved on the taxable services of all its business in Sindh, in a consolidated manner, in anyone of the said 55 authorized branches of NBP as per its convenience. The collection of SST in the NBP branches outside Sindh report their collection to Nicol Road Branch of NBP, Karachi and accordingly entire collection made through all branches is reported onward to Karachi Treasury.

For the reasons given above, the figures of collection given in the reply of Assembly Question# 39 do not exactly reflect the quantum or the value of the taxable services provided in any particular district. For taxpayers’ facilitation and with the intention of not increasing the cost of tax compliance for the service providers, there is no requirement in the law/rules that the tax on the services provided at a particular place or in a particular district must be deposited in the NBP branches at that very place or in that very district. The amount of SST can be deposited in any of the 55 authorized branches of the NBP which are on-line branches and the said branches collate the same for reporting under the Sindh Government’s head of account “B-02384”. The procedure and the system, operational at present, do not maintain the figures of SST on the services actually provided or rendered in the districts, district-wise.

SRB for last two consecutive financial years exceeded its collection as against the targets given by Government of Sindh and this year SRB is also working hard to achieve the set target of Rs. 42 billion during CFY 2013-14.

 *1808. DR. ARSHAD ABDULLAH VOHRA: Will the Minister for Labour be pleased to state:-

Labour laws policy being implemented in the province along with the year in which the same were made?

 ANSWER

SYED QAIM ALI SHAH JILLANI, (Chief Minister) Minister for Labour:

Before 18^th constitutional amendment, Labour was the Federal subject, and the Federal Government was used to announcer Federal Labour Policy. The last such Labour Policy was made in the year 2010. In the post of 18^th amendment scenario, after abolition of concurrent list, the chapter Labour has now been devolved to provinces, hence Labour policy is now a provincial responsibility. The provincial government of Sindh has not yet announced any policy.

Regarding the promulgation of Provincial Labour Laws it is state that:

(i)     Sind Industrial Relation Act, 2013 has already been passed and enacted by the Sindh Assembly. The newly enacted law has been drafted well in line with Constitution of Pakistan and International Labour Convention ratified by Pakistan, For the first time in the history the employees of Agriculture and Fisheries Sector have been granted right of association. Furthermore, the representation of the women in the trade unions has been ensured preparations to their strength,

(ii)    For remaining Labour Laws a consultant has already been hired to review.

International Labour Organization is providing support in this regard. A tripartite law review committee at provincial providing level has been established to draft these laws.

(iii)  At present nine Labour Laws are being reviewed which include following laws:

1.    Factories Act, 1934,

2.    W.P Industrial & Commercial Employment (S.O) Ordinance,

3.    Shops & Establishment Ordinance,

4.    Shop & Wages Act, 1936,

5.    Compensation Act,

6.    Cost of Lining Ordinance,

7.    Minimum Wages Ordinance,

8.    Bonded Labour (Abolition) Act,

9.    Any other law as identified,

 *1809. DR. ARSHAD ABDULLAH VOHRA: Will the Minister for Labour be pleased to state:-

(a)   Is it a fact that there is a plan to make new labour laws according to present national and international requirement;

(b)   If answer to (a) above is in affirmative, the details thereof?

 ANSWER

SYED QAIM ALI SHAH JILLANI, (Chief Minister) Minister for Labour:

Under the post of 18^th amendment scenario, the concurrent list has been abolished and the chapter “Labour” has been devolved to provinces, hence labour laws are now provincial responsibility. In this regard, Department of Labour has already initiated process of tripartite consultation on proposed new provincial labour legislation comprising representatives of the employers, employees and Government.

(i)     A consultant has already been hired to review. International Labour Organization is provided support in this regard.

(ii)    Sind Industrial Relation Act, 2013 has already been passed and enacted by the Sindh Assembly. The newly enacted law has been drafted well in line with Constitution of Pakistan and International Labour Convention ratified by Pakistan, For the first time in the history the employees of Agriculture and Fisheries Sector have been granted right of association. Furthermore, the representation of the women in the trade unions has been ensured proportionate to their strength.

(iii)  At present nine Labour Laws are being reviewed which include following laws:

1.      Factories Act, 1934,

2.      W.P Industrial & Commercial Employment (S.O) Ordinance,

3.      Shops & Establishment Ordinance,

4.      Payment of Wages Act, 1936,

5.      Compensation Act,

6.      Cost of Lining Ordinance,

7.      Minimum Wages Ordinance,

8.      Bonded Labour (Abolition) Act,

9.      Any other law as identified,

 *2040. MS. NAHEED BEGUM: Will the Minister for Sindh Revenue Board be pleased to state:-

Date of establishment of Sindh Revenue Board (SRB) and designation wise number of employees posted/appointed therein from its establishment upto date?

 ANSWER

SYED QAIM ALI SHAH JILLANI, (Chief Minister) Minister for Sindh Revenue Board:

Pursuant to the 7^th NFC award the Government of Sindh (GoS) decided to impose, assess and collect sales tax on services. Accordingly the Sindh Revenue Board Act, 2010 was promulgated on Tuesday, the 24^th of June, 2010 vide Gazette Notification No: PAS/Legis-B12/2010 having duly received the assent of Sindh Assembly. The Act provides for the creation of a Board to manage, supervise and take all such action as are necessary towards the administration of sales tax on services.

On the day of 7^th of June 2011 the Provincial Assembly proclaimed and asserted its constitutional right to levy, assess, collect and generally administer Sales Tax on Services provided, initiated, rendered, received or consumed in the Province of Sindh.

 Sindh Revenue Board Employees Status is as under:

 *2062. MS. NUSRAT SEHER ABBASI: Will the Minister for Labour be pleased to state:-

Number of development schemes started by Workers Welfare Board during 2009-2012?

 ANSWER

SYED QAIM ALI SHAH JILLANI, (Chief Minister) Minister for Labour:

The requisite information in respect of Sindh Workers Welfare Board may pleased be treated as Nil.

 *2488. MR. FAYAZ ALI BUTT: Will the Minister for Labour be pleased to state:-

(a)   Is it a fact that basic pay of grade 1 to 4 is below than the minimum wage set for private sector;

(b)   If answer to (a) above is affirmative, the reasons thereof?

 ANSWER

SYED QAIM ALI SHAH JILLANI, (Chief Minister) Minister for Labour:

(a)      The detailed bifurcation of pay of Grade 1 to 4 is appended below:

 At present the Minimum Wages in Private sector notified by Government of Sindh is          Rs. 10,000/- per month. If comparison of the basic salary of Government employee of BPS-1 to 4 made the answer come affirmation.

(b)      The Government servants are allowed a number of allowances (as detailed above) and the gross salary of Government servants from BPS-1 to 4 exceeds the minimum wages as announced by the Government for private sector.

Karachi:-                                          G. M. Umar Farooq

the 19^th February, 2015.                         Secretary

                                                   Provincial Assembly of Sindh.