- MTL raised a red flag warning about potential production shutdown due to unclear GST regime
- Company facing operational challenges due to GST complexities
- GST on tractors at 10%, while on raw materials at 18%, leading to refund claims
- MTL seeking clarification from FBR to alleviate situation
- Sales and bookings restricted, leading to accumulation of CBUs and squeezed working capital
- Company may consider production shutdown if FBR does not provide clarity
- Uncertainty in GST regime impacting MTL and broader manufacturing sector in Pakistan
- Market closely watching for further developments
- Regulatory clarity and timely intervention needed to support manufacturing sector and prevent economic disruptions.
Source: pkrevenue.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
