LAHORE: Pakistan Industrial and Traders Associations Front (PIAF) on Tuesday called for a tax-free budget for the year 2014-15 to achieve economic goals set by the government.
The PIAF Chairman Malik Tahir Javaid was addressing the PIAF Executive Committee. PIAF Senior Vice Chairman Khamis Saeed Butt, former LCCI Presidents Mian Anjum Nisar, Muhammad Ali Mian, Irfan Qaiser Sheikh were also present in the meeting.
The PIAF Chairman said that the increase in number of taxes always encourages people to stay out of tax net while cut in tax rates expands tax base therefore the government should rationalize tax tariffs instead of making any increase in their rates.
Malik Tahir Javaid said that the government would have to allocate more funds towards the energy generation projects as the shortage of electricity had already caused irreparable loss to the overall economy and the economic activities in the country.
He said that it was imperative to achieve revenue targets that they are set realistically keeping in view the ground realities. He said that new taxes, means the more burden on the existing tax payers that would ultimately increase the cost of doing business.
The PIAF Chairman said that the fact remains that the Prime Minister Nawaz Sharif and the Finance Minister Ishaq Dar were putting in their best efforts to attract much-needed foreign investment in the country but their efforts would bear fruit only when the taxation procedures are simple and their rates are on the lower side.
He said that the private sector should be facilitated for the creation of jobs as the government alone cannot provide jobs to all the unemployed graduates therefore the coming budget should be tax free having incentives for the manufacturing sector.
Malik Tahir Javaid said that the government would have to curtail the size of bureaucracy to control the day-to-day running cost of the government as the concept of smart organization well equipped with latest technology was fast gaining ground in the leading economies of the world.
The PIAF Chairman said that the Pakistan Industrial and Traders Associations Front had already prepared proposals for the upcoming budget that would be forwarded to the concerned quarters very soon. He said that the PIAF had proposed to the government to increase the rate of duties on smuggling prone items while the rate of taxes for the local manufacturers should be curtailed.
He said that the business community also hopes that sufficient funds would be allocated for the construction of water reservoirs in the country to ensure cheaper electricity to the masses and the high power tariff was hitting hard the competitiveness of Pakistani merchandise in the global market.