Daily Times

ISLAMABAD: Chairman Federal Board of Revenue (FBR), Dr. Muhammad Ashfaq said Friday that many things related to taxes and International Monetary Fund (IMF) were twisted in reports.

Addressing a press conference to clear the board’s point of view, the FBR Chairman said IMF was a reality, however, made it clear that many taxes that were claimed to have been levied were not actually imposed by the government. Likewise, the taxes that were shifted from one place to another were also misinterpreted, he said adding some changes were made to amend certain laws relating to taxes and duties through the Finance (Supplementary) Bill, 2021.

He was of the view that tax policy reforms were needed for a long time. However, during the previous regimes, whosoever interest groups came, they took their self-interested exemptions by making amendments in the laws, and then they went away. He said it has always been demand of the International Monetary Fund (IMF) to improve tax system and help the country increase revenues for self-sustenance.

He said, every time whenever the country went into IMF programme, new taxes were imposed but the old exemptions, concerning certain economic group, were not touched upon and these remained embedded with the system. The exemptions were not withdrawn simply because it would have been politically very unpopular decision.