Attention
of Authorized Dealers is invited to FE Circular No. 06
dated June 18, 2005 on the subject in terms of which 6%
R&D Support was allowed to the garment industry. Subsequently,
in accordance with MoC’s decision in terms of FE
Circular No. 04 dated April 14, 2006 R&D Support was
also allowed on export of readymade textile garments from
EPZ Units on the production of bank certificate certifying
that the export proceeds of R&D Support claims have
been received in Foreign Currency.
In this regard, Authorized Dealers are advised that they
may credit PKR denominated R&D Support payments from
SBP in the relevant Non-Resident PKR Accounts of EPZ’s
Units, maintained with them and thereafter allow withdrawals/debits
in PKR for equivalent utilization. Authorized Dealers
must ensure at all times that total PKR withdrawals/debits
to these accounts, do not exceed the total amount of R&D
Support received from SBP and credited to Non-Resident
PKR Accounts. The reporting of the above transactions
will be made on Form A-7 (AppendixV-7) under the existing
procedures.
Authorized Dealers are advised to bring the above to the
notice of all their constituents.