LAHORE: The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on Sunday rejected the government’s plan of imposing additional taxes in the upcoming federal budget 2021-22 under the International Monetary Fund’s deal.

“The government and the IMF have reached a staff level agreement to revive the stalled $6 billion programme by disbursing $500 million as third tranche and assigning the task to the government to generate additional Rs700bn from the trade and industry through new taxes in the upcoming budget,” the FPCCI’s ruling group of businessmen panel Chairman Mian Anjum Nisar said in a press release.

Mr Anjum termed the frequent increase in electricity tariff and petroleum products’ prices along with burden of new taxes at the behest of the IMF a dangerous game for the economy of the country, as it would make the Pakistani products uncompetitive in the international market.

“The new taxation measures include increasing income tax burden of the salaried and business individuals and the corporate sector, as the government will also withdraw about Rs360bn worth of sales tax exemptions from next year while the sales tax is already high,” he explained.

He said during the first year of the IMF programme, the government had introduced over Rs735bn taxation measures to achieve the Rs5.5 trillion tax target but the steps did not help the government achieve its target despite putting additional burden on trade and industry.

Published in Dawn, March 1st, 2021

Opinion

Editorial

Military option
Updated 21 Nov, 2024

Military option

While restoring peace is essential, addressing Balochistan’s socioeconomic deprivation is equally important.
HIV/AIDS disaster
21 Nov, 2024

HIV/AIDS disaster

A TORTUROUS sense of déjà vu is attached to the latest health fiasco at Multan’s Nishtar Hospital. The largest...
Dubious pardon
21 Nov, 2024

Dubious pardon

IT is disturbing how a crime as grave as custodial death has culminated in an out-of-court ‘settlement’. The...
Islamabad protest
Updated 20 Nov, 2024

Islamabad protest

As Nov 24 draws nearer, both the PTI and the Islamabad administration must remain wary and keep within the limits of reason and the law.
PIA uncertainty
20 Nov, 2024

PIA uncertainty

THE failed attempt to privatise the national flag carrier late last month has led to a fierce debate around the...
T20 disappointment
20 Nov, 2024

T20 disappointment

AFTER experiencing the historic high of the One-day International series triumph against Australia, Pakistan came...