Finance Bill 2019-20 sails through National Assembly as opposition fails to obstruct passage
The National Assembly accorded formal approval to the federal budget for fiscal 2019-20 late Friday evening, with the coalition and its allies comfortably defeating the combined opposition's bid to block the passage of the Finance Bill 2019-20.
The total outlay of the budget is Rs7.022 trillion, focusing on fiscal consolidation, revenue mobilisation, austerity measures and protection to the vulnerable segments of society.
The treasury benches rejected almost all the amendments to the finance bill moved by the opposition members after there was a discussion on them by both sides, whereas amendments moved by Minister for Finance and Revenue Hammad Azhar were adopted by the house.
Amendments proposed
Members of National Assembly Shahida Rehmani, Abdul Qadir Patel, Shahid Khaqan Abbasi, Khawaja Asif, Shazia Marri, Marriyum Aurangzeb, Maulana Abdul Akbar Chitrali, Shehbaz Sharif, Rana Sanaullah, Qaiser Ahmed Sheikh, Sardar Ayaz Sadiq, Shagufta Jumani, Dr Nafeesa Shah, Syed Naveed Qamar, Ali Pervaiz, Shahida Akhtar Ali were among those who moved amendments in the finance bill.
The amendments were related to changes in tax rates and finance bill, tax exemptions and abolition of interest on bonds.
While debating the amendments, Shahida Rehmani said the tax collected from Islamabad should be spent on the city for provision of drinking water and other basic facilities. She also suggested changes in the income tax ordinance for the benefit of overseas Pakistanis who buy property abroad.
Dr Nafisa Shah, too, proposed an amendment in the income tax ordinance 2001 saying a delay in tax refunds blocked investment and it was unconstitutional to ask exporters to take bonds instead of refunds.
Abdul Akbar Chitrali said taxes on those providing professional services would burden consumers so it should be withdrawn. He also said taxes on essential food items should be brought down.
Shazia Marri and Mehreen Razaq Bhutto seconded the Chitrali's demand to reduce taxes on food items including sugar and juices and construction material such as cement and steel.
Nisar Ahmed Cheema and Chitrali sought tax relief for Non Governmental organizations (NGOs) including Al Khidmat Foundation and Rawalpindi Eye Donors Organisation (REDO).
Ali Pervaiz and Shagufta Jumani demanded that the tax relief given by the PML-N government to the salaried class in its last year should be restored. Jumani said consumers were paying sales tax on every item they purchase from the market.
Abdul Qadir Patel asked for tax exemption for teachers and researchers while Qaiser Ahmed Sheikh said tax should be reduced for cottage industry as the banks were not giving it loans.
Sheikh also wanted the removal of federal excise duty on edible oil and lower taxes on local Liquefied Natural Gas and smaller cars.
Shazia Marri said she wanted concessions for Thar coal as was decided in a meeting of Economic Coordination Committee (ECC) in 2010.
"The Thar coal electricity projects should be exempt from taxes. The taxes would increase cost of coal production that in turn would increase power rates," she noted.
However, all proposals put forth by the opposition were turned down.
The bill now awaits presidential assent to come into force starting July 1. The National Assembly will reconvene at 11am tomorrow.
Earlier in the day, the opposition's bid to block the presentation of the bill for final voting had been rejected by the house with a 175-146 vote. A clause by clause reading of the bill had then commenced, with proceedings concluding shortly after 7.30pm.
Opposition makes noise, but fails to make a difference
Rejecting all cut motions presented by opposition parties a day earlier, the treasury benches had prepared to push the bill through today.
During the voting, Speaker Asad Qaiser on various occasions urged the members to refrain from raising slogans, observe decorum of the house and desist from making videos from their mobile phones. At times, the members from across the aisle squabbled over rules according to which the Speaker runs the house.
Before the final vote happened, the opposition had once more recorded their protest over the budget, with most members of the opposition wearing black armbands.
Taking the floor, PML-N's Shahid Khaqan Abbasi said: "We totally reject this budget."