Sindh government ‘advises’ KMC to broaden tax net

Author: Aslam Shah

KARACHI: Sindh government has advised Karachi Metropolitan Corporation (KMC) to broaden its tax net to get closer to its revenue target of Rs 4.30 billon, set for the ongoing fiscal 2017-18.

Sindh Finance Secretary, under the directive of Sindh chief minister (CM), said KMC should also strive to achieve at least more than 50 percent of the revenue collection target.

Rejecting request for funds by KMC to bail out Fire Brigade department, he advised that the KMC should use its own financial resources on overtime expenditures. Stipends to doctors and paramedics of KMC running hospitals and health centers should also be paid through KMC’s own financial resources, he added.

On the matter of funding of public parks, the secretary was of the view that the entity should consult government as Sindh Public Private Partnership Department was working under the CM.

Sindh government, while rejecting the demand of the KMC for Rs 10 million to cater to salary requirements of Karachi Dental and Medical College, released Rs 5 million and said the amount would be released on a monthly basis to KMC.

Around Rs 177 million were also released to KMC to meet its revenue shortfall in the entity’s 13 hospitals.

Similarly, funds of Rs 100 million for KMC zoos and safari parks against a request of Rs 130 million were released.

Under a fresh summary, Rs 300 million were released for meeting revenue shortfall in the salaries of around 13,383 employees of KMC. It was decided that out of this amount, Rs 68 million would be deducted on a monthly basis and released to the employees of four districts, who had been detailed in Sindh Solid Waste Management Board.

Sindh Finance Department approved Rs 147 million funds to KMC pensioners.

It also approved Rs 100 million for KMC on head of monthly salary of employees, following an increase of 15 percent in salaries of government employees, in fiscal 2017-18.

KMC Acting Municipal Commissioner Dr Asghar Abbas said such steps of the government would bring great relief to the KMC.

He vowed to enhance the entity’s revenue in order to streamline the working conditions of the civic entity.

Meanwhile, Local Government Department Secretary Ramzan Awan imposed a ban on union councils and union committees of Sindh from entertaining retired employees with benefits, pension and financial assistance.

It was decided that pensionary benefits, financial assistance and medical reimbursement to employees of union councils would be paid by concerned district council or concerned metropolitan and municipal corporations where the union councils exist.

All mayors, chairmen of municipal corporations, district councils, district municipal corporations and municipal and town committees were directed to create and maintain their respective separate accounts for retirement benefits, pensions and financial assistance and deposit monthly contributions into the account.

Published in Daily Times, November 17th 2017.

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