ISLAMABAD: Caretaker Prime Minister Anwaarul Haq Kakar on Thursday outlined the plan for tax reforms through digitisation and underscored the need to improve the tax collection for economic progress.

The development came a day after the Federal Board of Revenue (FBR) assured the PM it would bring one million new taxpayers on the roll and 20,000 retailers to the Point-of-Sale (POS) system — a real-time mechanism to document sales — by the end of June 2024.

According to the latest data issued by the FBR on Sept 4, some 16,387 branches of 7,798 retailers across the country were integrated with the system.

Talking to a delegation of the Islamabad Chamber of Commerce and Industry (ICCI) in Islamabad on Thursday, the PM said his government would bring economic stability “by winning the confidence of traders, industrialists and investors,” according to an official statement issued by the PM’s Office.

Kakar says digitisation will improve revenue collection; meets Bohra community leaders, foreign and health ministers

Mr Kakar assured the ICCI delegation that addressing problems of the business community was “among the foremost priorities of the government”.

The business community is playing an important role in development and the provision of employment opportunities despite the current economic situation, said Mr Kakar.

‘Operation against smuggling’

The PM also said an operation to curb cross-border smuggling has been initiated across the country.

“The crackdowns carried out during the last 48 hours against smuggling have yielded positive results,” the premier said without giving any further details.

The neighbouring countries have welcomed our action against smuggling, the PM said without naming the countries.

“The consultations are underway with the neighbouring countries for the promotion of trade.”

The government has been under a lot of pressure to curb smuggling as prices of goods, especially food items, have risen steeply reportedly on the back of unchecked movement across the border.

Recently, sugar prices hit record levels in various parts of the country due to smuggling, with growers claiming almost a million tonnes of the commodity made its way across the border into Afghanistan over the past year.

Meanwhile, the D.I. Khan Customs Enforcement on Thursday claimed to have seized three trucks loaded with smuggled goods.

An official announcement said three trucks and five containers loaded with foreign-origin smuggled goods, including tyres, yeast, cloth, welding electrodes, black tea, dry yeast, glassware, and plastic ware were seized last night.

The combined value of seized goods is Rs389 million.

Power sector reforms

The PM also said the process of reforms in the power sector has been expedited. Effective action will be taken against those involved in power pilferage.

Consultations with all stakeholders are important to address problems facing the country, he added.

Mr Kakar directed the Commerce Ministry to ensure regular consultations with chambers across the country and seek their suggestions.

Meeting with Bohra community

Mr Kakar also met with a delegation of the Bohra Community on Thursday and emphasised the need for joint efforts to purge intolerance and promote brotherhood in the society, APP reported.

The delegation was led by Shahzada Hussain Burhanuddin, who conveyed the good wishes of his father and spiritual leader of the Bohra Community Mufaddal Saifuddin.

The prime minister appreciated the community’s role in social welfare, education and economic sectors.

The delegation apprised the prime minister of the community’s welfare ­projects, particularly an under-construction cardiac hospital in Karachi.

Separately, Mr Kakar also met with the caretaker minister of health and foreign affairs on Thursday, APP said.

In his meeting with the PM, Minister for Health Dr Nadeem Jan discussed the matters pertaining to his ministry, according to a PM Office statement.

Interim Minister for Foreign Affairs Jalil Abbas Jilani apprised the PM of foreign policy issues.

Published in Dawn, September 8th, 2023