Unrealistic numbers behind RGST opposition

The parliamentarians are back to their usual business: banging desks, throwing slogans, shouting and quarrelling, and, of course walking out. The proposal in question is the Reformed GST and the flood tax tabled to the lawmakers.
Apparently, there is a bill proposed in the parliament and it seems highly unlikely to get the parliaments nod as, on the face of it, the opposition and the opposition from within the government seem to have a strong voice.
One would think that the political forces opposing the RGST bill and the flood tax are doing so in larger public interest. But it is a pity that lawmakers do not even have the idea of the modalities of the tax and its impact thereafter.
It is shoddier politics when seasoned parliamentarians like Dr. Farooq Sattar, who also happens to be the parliamentary leader of the party which has a key role in keeping the government afloat, make amusing statements.
That Mr Sattar made it heard in no uncertain terms that his party rejects the RGST and the flood tax made sense.
But what he went on saying further makes little sense and would make people wonder how our lawmakers of this stature can make such mistakes. Sattar claims that a 10 percent increase in tax rates will lead to an almost 100 percent increase in inflation, which will jump to 25 percent from the current 15 percent.
It should be remembered that the flood tax is not an additional 10 percent tax on income; it is 10 percent on the tax liability. Even if it was a 10 percent rise in income taxes; it certainly wouldn be leading to a jump in inflation by 10 percentage points as feared by Sattar. It is the increased duty on some imported items that will result in inflation, but certainly not up to 100 percent.
One wonders how such important coalition partners make such statements, which represent the partys policy - mind you, the party is not short of finance experts; the finance minster in the previous regime was that of MQM.
The master stroke came from the Prime Minister himself - claiming that the RGST will actually help reduce inflation as the tax rate will be slashed by 2 percentage points. What innocence! But anyway, enough has been said and written on RGSTs impact on inflation.
Now the ball for once lies in the opposing partys court and the court is large enough too. But will they play it hard or let the ball go, just like previous incidents, is the million-dollar question. It is highly likely that after having scored points in the media and amongst voters, they will just boycott the session and let the government pass the bill with an overwhelming majority - remember NRO?
The episode also highlights the need for better-informed policymakers, so that they get out of the habit of opposing for the sake of opposing. There may or may not be an under-the-table deal, but, in all likelihood, the bill will get the parliaments approval if the opposing members walk out, since it is the vote of the sitting house that counts. Good news for the IMF tranche recipients though.