Revenue losses & illicit tobacco trade on November 24, 2019“Only two [tobacco] companies pay 98 percent of total tax [tobacco collection]. The remaining 40% companies pay meagre 2% tax”-Prime Minister, Imran Khan “Cigarette manufacturers across the country are evading millions of rupees in taxes through fraudulent methods in connivance with government officials, opposition members, and individuals of investigative agencies”-Investigative report aired by Geo News […]
PTI’s forgotten tax reforms agenda on November 17, 2019Prime Minister Imran Khan, while addressing top officials of Federal Board of Revenue (FBR) on November 13, 2019, expressed dissatisfaction over performance of apex revenue authority. He asked them to give their input regarding substantial tax reforms approved by him on October 3, 2018 to collect taxes of Rs. 8 trillion, otherwise it would not […]
Tax plans san debate! on November 10, 2019According to a Press report, Chairman Federal Board of Revenue (FBR), Shabbar Zaidi, has shown flexibility over establishment of Pakistan Revenue Authority (PRA) after strong resistance from the personnel he is presently heading. He ensured them that the new body would not be formed without “taking input from all stakeholders”. The important question is why […]
Traders and taxes on November 3, 2019According to data released by the Federal Board of Revenue (FBR) out of over 3.5 million traders in the country only 312,361 have been filing tax returns. The affluent traders who frequently perform Umrahs in one year alone are not less than one million. But, the FBR has failed to bring them into tax net. […]
Simplify tax laws on July 27, 2019In 2001, the duo of General Pervez Musharraf and Shaukat Aziz decided to promulgate a new income tax law on the dictates of International Monetary Fund (IMF). The move was opposed by many on the plea that the enactment of income tax law through a Presidential Ordinance by a military dictator was in violation of […]
Taxes at grassroots level on July 15, 2019Assignment of a tax means transfer of taxation power from a higher level to a lower level government. Taxation power includes right to levy tax, collect tax and appropriate the proceeds from such tax. Thus, there can be three interpretations of assignment of a tax. Firstly, higher-level government may levy and collect a tax but […]
Woes of withholding agents on July 7, 2019Civilized governments all over the world appreciate those who collect taxes on their behalf for the well-being of their fellow countrymen. Their services are also compensated allowing them to withhold a percentage of collection as incentive/compensation to meet expenses incurred by them. In Pakistan, the converse is practiced as the withholding agents are burdened with […]
People’s budgets on June 30, 2019A friend asked to outline as to what should be the ideal budgets for Pakistani people at federal and provincial levels. The answer can be simple: an ideal budget is one that has long-term vision of prosperity by doing justice with all economic classes within the society. It must ensure growth with equality. Such a […]
Custodians as reformers on June 23, 2019This week two developments made not only headlines but also created heated debates. The announcement by Prime Minister of establishing National Development Council (NDC) and appointment of Deputy Chairman of National Accountability Bureau (NAB) as head of National Investigation Commission to investigate the monstrous increase in our debts during the Decade of Democracy [2008-18]. Many […]
Budget of, by, for elites on June 15, 2019It is not surprising that every budget of Pakistan, the latest one announced for fiscal year 2019-20 on June 11, 2019, has one common feature: burdening the common people, appeasing the mighty, extending benefits to the rich and toeing the line of the lenders/donors. Many experts emphasise that since beggars cannot be choosers, we have […]